Real Estate Law
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If you have been using another person's lot for 7 years, then you can likely claim legal ownership of the land under the doctrine of "adverse possession".. In Texas, four time periods govern adverse possession. Under the three-year statute, the intruder must enter the land either under title or color of title as defined by the statute. Color of title refers to a claim based on a land right, land warrant, land scrip or an irregular chain of title "that does not want of intrinsic fairness or honesty." This is a claim that you can make if your previous survey indicated that the land was yours.
So here, you have clearly met the 3 year time limit and I think you could defend against any claim by the true owner by hiring a local real estate attorney and filing a "quiet title" lawsuit against the neighbor to claim actual legal ownership of the property.
If you play your cards right, you could end up with your actual legally owned lot as well as the improper lot that you built on by mistake due to the actual owner's negligence in not keeping up with their lot.