HomeMy WebLinkAboutA002 - Preliminary Title Opinion dated February 23, 2015 JORDAN &. MAHONEY LAW FIRM, P.C.
615 Story St.,P.O.Box 219
Boone,[A 50036
(515)432-4510
FAX(515)432-2426
www.jordanmahoney.com
Richard T.Jordan Send all correspondence to:
Michael F.Mahoney P.O. Box 219
John D.Jordan
Ryan J.Mahoney Boone, IA 50036
Meredith C.Mahoney Nerem
John R.Flynn
Nicolas G.Fontanini
February 23 , 2015
Mr. & Mrs. John. R. Pfeffer
6018 Lincoln Way
Ames IA 50014
PRELIMINARY TITLE OPINION
We have examined the Abstracts of Title in three parts to
the real estate described below. All references to Entry Nos .
in the Abstract .refer to the Abstract, which was last certified
the 12z_h day of February, 2015, at 7 :45 a.m. and is identified as
Abstract No. 15-163 prepared by Boone County Abstract Company.
MARKETABLE TITLE:
John R. Pfeffer and Joan L. Pfeffer, husband and wife, as
joint tenants with full rights of survivorship and not as
tenants in common.
LEGAL DESCRIPTION:
Beginning 383 . 3 feet West of the Northeast corner of
Section twelve (12) , Township eighty-three (83) North,
Range twenty-five (25) ; West of the 5th P.M. , Boone
County, Iowa, running thence West 221 . 07 feet along
the North section line, thence South 453 . 35 feet
thence Fast 221 . 07 feet , thence North 454 . 65 feet to
the place of beginning .
Boone: NIRdrid: Webster City:
615 Story St. 114 S.Kennedy Ave. 501 Bank St.,
P.O.Box 219 P.O.Box 147 Suite 2
Boone,Iowa 50036 Madrid,Iowa 50156 Webster City,Iowa 50595
Tel:515-4324510 Fax:515-432-2426 Tel:515-795-3641 Fax:515-432-2426 1'el:515-835-7432 Fax:515432-2426
Preliminary Title opinion #2014-3349
February 23, 2015
Page 2 of. 8
TAXES:
Parcel Nos : 08-832512-1100002;
08-832512-1100003;
08-832512-1100004
The second installment of real estate taxes now payable is
unpaid. If unpaid, this installment becomes delinquent April 1,
2015 . The amount thereof is $3 , 117 . 00 . Taxes for all prior
years have been paid and there are no unpaid personal property
taxes or special assessments which affect the property under
examination.
ENCUMBRANCE:
A. At Entry No. 103 there is a first mortgage executed by
John R. Pfeffer and Joan L. Pfeffer, husband and wife, on the
above-described real estate to First National Bank, Ames, IA, in
the original amount of $105, 000. 00 dated November 1, 2002, and
recorded November 12 , 2002 , as Instrument No. 027462 in the
office of the Boone County Recorder. THIS MORTGAGE IS A FIRST
AND PARAMOUNT LIEN AGAINST THE REAL ESTATE.
B. At Entry No. 104 there is a second mortgage executed
by John R. Pfeffer and Joan L. Pfeffer, husband and wife, on the
above--described real estate to First National Bank, Ames, IA, in
the original amount of $170, 000 . 00 dated November 1, 2002 , and
recorded November_ 12, 2002, as Instrument No. 027472 in the
office of the Boone County Recorder. SUBJECT TO THE PRECEED :NG
MORTGAGE, THIS IS A VALID LIEN AGAINST THE REAL ESTATE.
C. At Entry No. 119 there is a third mortgage executed by
John R. Pfeffer and Joan L. Pfeffer, husband and wife, on the
above-described real estate to First National Bank, Ames, Iowa,
in the original amount of $133, 000 . 00 dated September 12, 2008,
and recorded September 18, 2008, as Instrument No. 084334 in the
office of the Boone County Recorder. SUBJECT TO THE PRECEEDIN3
MORTGAGES, THIS IS A VALID L:LEN AGAINST THE REAL ESTATE. THIS
MORTGAGE CONTAINS A DUE ON SALE OR TRANSFER OF PROPERTY CLAUSE.
D. At Entry No. 120 there is a fourth mortgage executed
by John R. Pfeffer and Joan L. Pfeffer, husband and wife, on the
above-described real estate to First National Bank, Ames, Iowa,
in the original amount of $73 , 400 . 00 dated September 12 , 2008,
and recorded September 18, 2008 , as Instrument No. 084335 in the
office of the Boone County Recorder. THIS MORTGAGE IS DUE
September 1, 2013 , OR UPON SALE OR. TRANSFER OF PROPERTY. At
IBC)av
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February 23, 2015
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Entry No. 121 appears a !-,lod ificat ion Agreement of this mortgage
to provide that it encumbers both real. and personal property,
contains an after-acquired property clause and secures present
and future loans and advances and it secures credit in the
amount of $133, 000 . 00 . At Entry No . 122 appears another
Modification Agreement that provides that the mortgage secures
credit in the amount of $73 , 400 . 00, and the "maturity date" is
hereby deleted in its entirety. SUBJECT TO THE PRECEEDING
MORTGAGES, THIS IS A VALID LIEN AGAINST THE REAL ESTATE .
EASEMENT GRANTED TO PFEFFERS :
At Entry No. 75 there appears an Easement executed cy Joe
Allen Besco and Susan Marie Besco, husband and wife, who own the
real estate abutting the above-described Pfeffer real estate
along the east side thereof, wherein, Besco granted t.o Pfeffer
an Easement over and across a strip of land approximately 10
feet wide along the east line of the Pfeffer property granting
Pfeffer the right to landscape, for decorative purposes only
along this strip of land.
EASEMENT:
A'. At Entry No . 116 appears an Easement Agreement made by
and between Weeks, Inc . , Grantor and John R. Pfeffer and Joan L.
Pfeffer, husband and wife, dated April 30, 2004 and recorded
August 5, 2004, as Instrument No. 044564 in the office of the
Boone County Recorder. This Agreement states that the Grantor
(Weeks, Inc . ) has entered into a Lease of real estate owned by
the Grantees (Pfeffer) for the following described real estate
to wit :
Beginning 383 . 3 feet West of the Northeast Corner of
Section 12 , Township 83 North, Range 25 West. of the 5tr.
P.M. , Boone County, Iowa, thence West along the
Section line 125 . 0 feet , thence South 453 . 75 feet,
thence East 125 . 0 feet, thence North 454 . 65 feet to
the point of beginning, subject to public highway.
This Agreement provides that the Grantor (Weeks, Inc . )
grants to the Grantees (Pfeffer) a PERPETUAL right to use as a
means of ingress and egress to and from the Grantees' adjacent
property, so much of the drive entrance and paved roadway and
parking lot as is reasonably necessary. If in fact Weeks, Inc.
are lessees of the real estate, I fail to see how they can grant
a perpetual easement over the rented property.
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February 23, 2015
Page 4 of 8
B. At Entry No. 100 there is an Easement granted to Xenia
Rural Water District, its successor and assigns, whereby Pfeffer
grant to Xenia the right to construct, laying and thereafter,
using, operating, maintaining and repairing or removing a water
pipeline and any necessary appurtenances over and across the
property under examination. Said pipeline shall be placed
thirty feet from and adjacent to existing road right-of-way;
provided, however, Xenia may deviate from said course to avoid
natural and/or manmade barriers or obstructions . -
ACCESS TO AND FROM HIGHWAY 30 :
At Entry No. 89 there appears an Agreement by and between
John R. Pfeffer and Joan L. Pfeffer and their adjoining property
owners, and the Iowa Department of Transportation, whereby the
above-mentioned property owners acquired a new right of access
to and from the south side of Primary Highway No. Ia 930 (Old
U.S. 30) at Station 6456+75 . The new entrance is 30 feet in
width with a 25 feet radius returns or tapers and the previous
entrance at Station 6457+38 has been permanently removed and
extinguished. This Agreement was recorded September 29, 1995 at
Book 673 Page 761 in the office of the Boone County Recorder.
CITY OF AMES, IOWA, SUBDIVISION REGULATIONS:
At Entry No. 98 appears City of Ames, Iowa Ordinance No.
3524 . This Ordinance provides for minimum requirements for
promotion of public health, safety and general welfare. No
zoning permit or building permit shall be issued for a principal
building, within the meaning of the city' s zoning regulations,
with respect to any land that has been divided without
compliance with provision of the regulations and all other
applicable state laws and city ordinance enforced at the time of
such division. These regulations govern the review and approval
of any Plat for any area of land within the City or within 2
miles of the City boundaries within Story or Boone County and
must be approved by the Ames City Council .
MECHANIC' S LIEN SEARCH:
The Abstract contains a Mechanic' s Lien Search Certificate
dated the 12th day of February, 2015 at 7 :45 a.m. showing that
there are no mechanic' s liens filed in the Mechanics' Notice and
Lien Registry maintained by the Iowa Secretary of State for
Boone County, Iowa related to the property above described.
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February 23, 2015
Page 5 of 8
SEPTIC SYSTEM CERTIFICATION:
Effective July 1, 2CC9, Iowa Law requires that if there is
a private sewage disposal system (septic tank) on the property,
prior to the sale, transfer. or conveyance of such property, the
seller must provide a Certified Inspector's Report, which
documents the condition of the private sewage disposal system
and whether any modifications are required to conform to
standards adopted by the Department of Natural Resources. No
instrument transferring title will be accepted for recording by
the County Recorder without the certified inspector' s report
being presented with the required Ground Water Hazard Statement.
COMMENTS:
A. Zoning. - Boone County Zoning Ordinance No. 27, which
became effective January 1, 1999, establishes comprehensive
zoning regulations for the unincorporated area of Boone County,
Iowa, and provides for the administration, enforcement and
amendment thereof . For further particulars, you are referred to
the Ordinance which is recorded as Instrument_ No. 986714 in the
office of the Boone County Recorder.
B. Board of Health. Your attention is called. to Entry No.
78, which says in essence that the rules and regulations of the.
Boone County Board of Health affect all property in the County
as to nuisances, sewage and junk. For further information about
such rules and regulations, you are referred to the office of
the Boone County Sanitarian in the Courthouse.
C. Environmental Hazard/Potential Liability. The
Abstracts of Title do not usually disclose the presence of
wells, hazardous waste or underground storage tanks on the
property thereby covered; and you are hereby advised that, under
current law, there may presently exist conditions upon the
property under examination, in violation of such laws, which
could result in substantial liens for clean-tip expense or
personal liability for such removal . Accordingly, you should
make such inquiry and investigation as you may deem necessary in
order to - determine the existence of any such conditions
concerning the property under examination.
D. Environmental Protection Lien Endorsement (ALTA Form
8 . 1) "There is W no. environmental protection lien recorded in
those records established under state statutes for the purpose
of imparting constructive notice of matters relating to real
P..eliminan Title Opinion #2014-3349
February 23, 2015
Page 6 of 8
property to purchasers for value and without knowledge, or filed
in the records of the clerk of the United States District Court
for the district in which the land 'is located, nor (ii) are-
there any environmental protection liens provided for by any
state statute that allows a lien for environmental protection
that can attain priority over the lien of the insured Mortgage
should be listed; if none, state `none, ) "
E. Liens for Charges for Municipal Services. An Abstract
of Title does not report liens for services provided by the
city, such as sewage disposal, and any other charges for
services until they are certified to the County Treasurer.
However, charges for the above services which are not paid when
due constitute a lien against the property.
F. Soil Conservation. At Entry No. 79 appears a notice
which states that certain real estate in Boone County is subject
to the Soil Conservation Refund requirements provided under
Section 161A. 7 (16) , I .C.A. Said notice does not list any real
estate but provides for a personal charge against the owner of
the land at the time of removal, alteration or modification of
soil conservation practices established with public cost-sharing
money. You should inquire at the office of the Boone County
Soil Conservation District to determine if any cost-sharing soil
conservation practices have been established on the land which
you are purchasing which if removed, altered, or modified, would
result in an obligation on your part as owners of the land to
refund a portion of the public cost-sharing money used to
establish such practices .
G. Rural Building Permit. - At Entry No. 105 there appears
the Rural Building Permit Ordinance No. 20 of Boone County,
Iowa, which was adopted July 20, 1994, by the Boone County Board
of Supervisors to be effective on August 1, 1994 . This Rural
Building Permit Ordinance was recorded in the office of the
Boone County Recorder on the 28th day of March, 1995, in Book
668 at Page 286 .
This ordinance requires that any person and/or builder in
any unincorporated area of Boone County and incorporated towns
(without a building permit ordinance) and with concurrence of
their city council obtain a building permit before commencing
the erection, alteration, conversion, or movement of a building,
or construction of any new permanent improvements .
H. Bankruptcy Proceedings. Bankruptcy proceedings filed
in any county other than the county where the property is
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February 23, 2015
Page 7 of B
located are not disclosed by the abstract . If you believe that
the property is or may have been involved in bankruptcy
proceedings, further search is necessary.
An abstract of title is a multi-page document typically prepared by a
commercial abstracting firm. It consists of numbered entries containing
information abstracted from the public records on file in the county
courthouse that affect the title to the real estate described in the abstract
of title. However, these public records do not necessarily disclose all
rights in, claims against or restrictions upon the real estate. Therefore,
you should make a careful inspection of the real estate and make diligent
inquiry to satisfy yourself as to the following additional matters:
I. The rights of any person in actual possession of the real estate such as a tenant in
possession under a lease agreement.
2. The rights, under the Iowa mechanic's lien law, of persons who have furnished labor or
materials in the past 90 days for improvements to the real estate.
3. The rights of creditors under the Iowa Uniform Commercial Code to a security interest in
improvements to the real estate in the form of fixtures, such as a furnace or water
heater, which have been installed recently so as to allow the creditor to file notice of
such rights after the period of time covered by the abstract.
4. Unpaid charges for public utilzty services furnished to the real estate which may become
a claim against the real estate.
S. The a istence of any security interest in growing farm crops disclosed by financing
statements filed in the office of the Iowa Secretary of State.
6. The existence of any easement over the real estate which is apparent from physical
evidence of its use or the actual location of the boundary lines of the real estate.
7. Any encroachment upon the real estate from adjacent real estate by way of third party use
or by building overlapping the boundary lines and any other facts that may be disclosed
by a survey.
6. Availability of reasonable and convenient access to the real estate from an existing
public right of way.
9. Any law, ordinance or governmental 'regulation (including but not limited to zoning,
subdivision and rental housing ordinances, which are state or local laws, or Federal laws
such as Americans with Disabilities Act or the laws restricring discrimination in
housing) restricting, regulating or prohibiting the occupancy, use or enjoyment of the
real' estate, or regulating the character, dimensions .or location of any improvement now
or hereafter arected on the real estate, or prohibiting a separation in ownership cr a
reduction in the dimensions or area of the real estate. For such information, you should
consult the local building and zoning officials having jurisdiction or the Federal
agencies having jurisdiction.
10. Anv other matter affecting the real estate which may have been filed as a part of the
public records in the county courthouse after the period of time covered by this Title
opi rion.
11. There are matters which can only be satisfactorily determined by a survey. The plat or
survey shown in the abstract, if one is shown., normally does not show the location of
improvements with respect to the boundary lines. You may want to have a site survey
(sometimes referred to as an "as built" survey) done to locate any improvements with
respect to the boundary lines. This site survey could be recorded to benefit both the
buer and the future• buyers of the real estate. A site survey should reveal such
problems as encroachments on the property, improvements- built too close to or even over
the boundary line and substandard lot size. Improvements not meeting zoning requirements
may be considered nonconforming. uses under applicable zoning and building codes. An
owner may be prohibited From isr'•restr'icted ir_'•-ebuilding a nonconforming use under
applicable zoning or building codes. A nonconforming use may also jeopardize the amount
BOM 3 PAGE_ �-1
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February 23, 2015
Page 8 of 8
of recovery under the owner's insurance policy. A nonconforming use may also prevent a
buyer from obtaining a mortgage on the property.
12. The abstract does not disclose the existence of hazardous substances, pollutants,
contaminants, hazardous wastes, underground storage tanks, drainage wells, active or
abandoned water wells, and other environmentally regulated activities. You are cautioned
that federal, state and local legislation may, in the event there are environmental or
public health violations, permit injunctive relief and require removal and remedial
actions or other "clean-up". The cost of such "clean-up" may become a lien against the
real estate, and you may have personal liability even though you may not have disposed of
any hazardous substances, pollutants, contaminants, or hazardous wastes on the real
estate or used any underground storage tanks or wells.
Respectfully submitted,
JORDAN & MAHONEY LAW FIRM, P.C.
Y
E Rich rd TJ`®r
Title Guaranty No. 2404
RTJ/bnb
Abstract No. 2014-3349