13 Dec Tips from the Trenches: Notice of Intended Sale
Attention all Real Estate Investors who flip homes in the State of Missouri this article is a must read! Effective November 1, 2010, investors who perform any major renovation work on a home or property with the intent to resell, a Notice of Intended Sale will need to be filed and/or recorded in your local jurisdiction. The State of Missouri passed new rules regarding mechanic’s liens making this document necessary to file. The new laws were passed to protect contractors from being swindled out of money owed to them by predatory developers. Development scams have been on the rise and have caused the changes in the laws. If you fail to file the Notice of Intended Sale, this will likely cause major closing delays upon resale.
This document is simple to complete, it must be notarized and recorded at least 45 calendar days prior to the closing of resale. In an effort to save time and paperwork down the road, if you purchase a home or building to rehab and later sell, we suggest you fill out the form and have it notarized at the time of closing on the original purchase. This will save you a trip later on. The fee for recording the document is nominal. For example, in the City of St. Louis, recording the document is only $33. Just make sure you plan ahead, and you’ll never have a problem.
For more information on the new mechanic liens in the State of Missouri click here.
Please feel free to contact us if you need to obtain this document.