I am looking at buying a home in NE PA on 8.25 Acres. The gas industry is booming here and leases are being signed every day. The current owner of the property does has surface only. What was stated to me by the realtor is that the insurance co. of Chesapeke Gas traced the mineral rights back to 1912 with a Name. I was told we would need to get a "Quiet Title" and would need a lawyer and some cash. Is this a nightmare waiting to happen? If we purchase this home can someone else come in and claim the mineral rights before we can? Can some long lost family member of this guy from 1912 come in and claim ownership before we can get this quiet title? Is it possible we could buy the home and not be approved for the quiet title?Should we walk away from this deal ?
Thanks a lot for looking...I look forward to getting some help.
I have dealt with a lot of PA oil & gas properties over the last 5 years. Quiet Title has been brought up many times in that period.
I personally do not accept it.
Yes, some long lost relative can show up and say they are an owner. Even after the quiet title is performed, if the heir proves that you didnt put forth the proper effort to locate them, that person can sue for his interest.
Quieting a title is a long intensive process. You can buy out separate owners. In your case the seller should be responsible for the attorney's fee's and title policy. You are in PA and I am in Texas so the laws are probably different. In Texas if a title has been through the Court process properly it will be cleared and the title will be good.
I appreciate the advice. The seller is a asking too much for the house as it is and now since I asked him to take care of this first, he thinks he is going to get a lease in place and sell the house for more money…The guy is an idiot. So really, the only sure way to handle this issue would be to legally acquire the rights from the mineral right owner itself?
Williams, how big is the place? An acre isn’t going to make you rich, but hundreds might. Still not a sure thing. Do you absolutely have to have the rights to the minerals under it? If I were looking for a house property I would look at location, whether the house pleases me and total cost of thansaction/ value for money, then worry about the mineral rights. Good luck in the future.
It’s 8.25 Acres. Up my way they are signing leases like crazy for 5 Plus acres. It’s not tons but its something.
r w kennedy said:
Williams, how big is the place? An acre isn't going to make you rich, but hundreds might. Still not a sure thing. Do you absolutely have to have the rights to the minerals under it? If I were looking for a house property I would look at location, whether the house pleases me and total cost of thansaction/ value for money, then worry about the mineral rights. Good luck in the future.