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The question is that should I address this ASAP? It's not an immediate concern to me right now (have enough to worry about with moving!), except I do not want to lose that property to
the neighbor. I remember reading some things about if your neighbor uses your property for some period of time then ownership reverts to them. Not sure of the details of this (obviously),
but it had some other qualifications like "blatant use" or something like that. I'm really not looking forward to meeting the neighbors and springing something like this on them.

Definitely address it - a couple things can bite you on this. Many states have "adverse possession" laws, where if someone uses your property for a number of years, it is theirs. Even if that doesn't happen, the neighbor's customary use of your property may grant them a "right of way" or whatever. I'm not a lawyer of course, but I've seen them on TV.

If it was me, I'd talk to the neighbor first, and then move the fence to the right location without any delay.

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