tag:blogger.com,1999:blog-36096789.comments2023-04-11T01:02:46.639-04:00Title Insurance Talk bsherry@tcsclosing.comBecky Sherryhttp://www.blogger.com/profile/06708452533161661554noreply@blogger.comBlogger741125tag:blogger.com,1999:blog-36096789.post-61233451292666553342016-08-27T09:35:34.531-04:002016-08-27T09:35:34.531-04:00The question of whether parties can walk from a co...The question of whether parties can walk from a contract is a legal question and you should consult an attorney. As a non-attorney person who is also no longer a title insurance agent BTW, my many decades of experience told me that willing buyers and sellers will hang in there through these kinds of delays unless they have some other reason for canceling the deal.Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-9721847184098392032016-08-27T09:31:31.798-04:002016-08-27T09:31:31.798-04:00It's debatable whether the taxes should've...It's debatable whether the taxes should've had an impact on timing due to the TRID disclosure however reality is that the lender chose to allow the impact. Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-47672535386224355472016-08-27T09:27:31.284-04:002016-08-27T09:27:31.284-04:00And this is why TRID makes everyone stress. And this is why TRID makes everyone stress. Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-22235607535920887382016-08-26T04:44:16.119-04:002016-08-26T04:44:16.119-04:00Hi Diane,
I have a buyer in the last weeks prior t...Hi Diane,<br />I have a buyer in the last weeks prior to closing. The lender and Seller use different title companies and to hopefully expedite things we decided to use the Seller's title company for our transaction. Closing is supposed to be 8/25/2016 per the Sellers request.<br />Our lender repeatedly asked for title commitment/policy to provide accurate loan disclosures to the buyer. After a couple of weeks the information was finally received showing that the Sellers paid 2015 Winter ($657) tax but not 2016 Summer Tax ($2,600). The lender made the adjustments on the buyers loan estimate to show escrow to makes sure those taxes are covered.<br />On 8/24, the Sellers decided to pay the Summer Taxes because, per Seller Agent, they were due August 1st and they didn't want them to be late.<br />This resulted in confusion on the buyers final loan disclosure of reimbursing Seller via additional closing costs AND still paying for those taxes via escrow. I also want to point out that the taxes in escrow did not represent the title taxes and were actually doubled, with added "county" tax which changed the previous loan estimate mortgage from $1,500 to $1,900.<br />Closing had to be pushed back and the Seller agent is upset, however, the lender still has not correct the loan (HUD) paperwork showing the correct escrow and closing.<br />The sellers's title company, at the sellers insistence, has hastily scheduled the closing for 8/29 at 4pm and attached the title paperwork showing that the Sellers STILL had not paid summer taxes. I let them know that the buyer will not be closing until the title work has been corrected and the accurate HUD numbers are finalized/approved by the buyer.<br />The contract for this purchase has a 8/29 deadline, per our PA. Do the buyers or sellers have the ability to walk if the closing needs to be pushed back further? Right now our lender is saying that closing will not possible 8/29.Frustrated Buyer Agenthttps://www.blogger.com/profile/07145431876382920123noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-32438591011386722382016-06-14T16:49:30.327-04:002016-06-14T16:49:30.327-04:00Well I don't sing or play guitar. But I am hig...Well I don't sing or play guitar. But I am highly organized LOL. <br />Anonymoushttps://www.blogger.com/profile/15429541795850455126noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-52014518065091829032016-06-14T14:24:39.463-04:002016-06-14T14:24:39.463-04:00Thanks, Kathy. Well this title agent will be sing...Thanks, Kathy. Well this title agent will be singing, playing guitar and piano out and about and enjoying a TRID free life! lol<br /><br />Thanks, Kathy. Best wishes to you and thanks for the contributions you have made to Title Insurance Talk through your comments.<br /><br />dDhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-12458135543612532802016-06-14T14:04:16.243-04:002016-06-14T14:04:16.243-04:00I will miss you Diane! If you find out what it is ...I will miss you Diane! If you find out what it is that old title agents do when they retire, please let me know. TRID may be factor in my early retirement.Anonymoushttps://www.blogger.com/profile/15429541795850455126noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-38908086889390410712015-12-27T23:04:18.599-05:002015-12-27T23:04:18.599-05:00Hi, Vincent. The quandary we have is that the wor...Hi, Vincent. The quandary we have is that the wording in the law does not require the filing of a judgment. The folks who wrote the law have explained that they intended that a judgment was to be filed. There was an effort by some trade associations to draft language to add clarity to the law but my understanding is that this effort was not successful. <br /><br />Pending some kind of amendment, when we find situations where the seller has delinquent taxes on other property owned in the same county as the subject property - other than REO which all underwriters have decided to insure over - we seek underwriter guidance. In the case outlined in this post, the underwriter wanted us to pay the tax. I don't disagree with that conclusion given the language in the law.Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-55599777954573542622015-12-24T15:32:02.988-05:002015-12-24T15:32:02.988-05:00Diane,
Act 93 took effect on January 27th, 2014. ...Diane,<br /><br />Act 93 took effect on January 27th, 2014. It was my understanding that the act does not retroactively create in personam liens from of tax judgments entered in 2012. OR was a judgment for the taxes entered after 2014? <br /><br />Could you please provide some clarification?<br /><br />Warmest holiday wishes, <br /><br />VincentAnonymoushttps://www.blogger.com/profile/09646466179331565505noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-56000982977381769682015-11-11T13:16:50.324-05:002015-11-11T13:16:50.324-05:00I'm guessing the 2000 mortgage was paid off in...I'm guessing the 2000 mortgage was paid off in a refinance in 2001? That means you probably paid for lender title insurance in the refinance, right?<br /><br />[If I have misunderstood, let me know.]<br /><br />If you have a copy of the HUD-1 Settlement Statement from the refinance in 2001, ask the title underwriter to use that for a basis to issue indemnification to the new title insurer for your buyer. That will often clear the way for closing.<br /><br />If you lost the HUD-1 you could ask your mortgage lender from 2001 if they will give you a copy.<br /><br />Hopefully someone is contacting the 2000 mortgage lender and asking them to verify that the mortgage is paid in full. Lenders often neglect to file satisfaction documents at the courthouse OR sometimes the courthouse indexes them improperly so they can't be found. The lender can file a sat. piece now.<br /><br />If no one will help you, you could contact the state insurance department to see if they will assist in getting the title underwriter to be more interested in a resolution. The agent who went out of business was supposed to verify that the satisfaction was filed and they didn't do their job, hence the title underwriter didn't do their job.<br /><br />I am sorry that you are experiencing this problem. Thank you for posting the comment as it DOES help consumers to understand the value of keeping important papers, just in case.Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-8079667265815665022015-11-11T12:50:16.135-05:002015-11-11T12:50:16.135-05:00I have a mortgage from 2000 that showed active on ...I have a mortgage from 2000 that showed active on the title search. The title company is no longer in business. I contacted the underwriting company but they have no records for the 2001 mortgage that would have paid this off. What options are there to clear our title so we can close our va loan. minnesotahttps://www.blogger.com/profile/03637046543002893981noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-63338550561774903582015-09-23T09:29:31.557-04:002015-09-23T09:29:31.557-04:00You're welcome! ;)You're welcome! ;)Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-76816553343467299802015-09-22T19:43:46.064-04:002015-09-22T19:43:46.064-04:00Thanks Dianne just like I mentioned 'wanted a ...Thanks Dianne just like I mentioned 'wanted a second set of eyes' before I made the decision :-) <br />Also, thank you for being out there for all of us and providing useful information.SKBhttps://www.blogger.com/profile/13877774529817846507noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-68825804979521941572015-09-22T16:23:48.621-04:002015-09-22T16:23:48.621-04:00I hear you and I know it's frustrating. I'...I hear you and I know it's frustrating. I'm always astounded when there is a post closing discovery of an error in the commissions. I would think that is the FIRST thing the real estate agents would check.<br /><br />That said, you really need to go back to your listing agreement or the sales contract and see what your agreement was with the real estate brokers. Even if there was an error on the HUD-1, you still must honor that agreement.<br /><br />If the situation was in reverse, you would expect a refund, right?<br /><br />Preparation of the HUD-1 Settlement Statement is usually done in a high stress compressed timeframe and even with lots of eyes looking at it, errors sneak through. I don't know if the pending CFPB TRID procedures will help but we are all hopeful.<br /><br />So, bottom line, I would just send the check. I would look at it more like the bank accidentally deposited money in your checking account. Once discovered, they would surely debit your account. Eating fees as you described is a marketing decision. Banks tend to be more sensitive to consumer experience because they have a long term relationship prospect AND banks have big pockets. Real estate agents and title agents might absorb little mistakes but $400 is big money to these folks and I wouldn't expect them to cover it.Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-80315640695461249282015-09-22T15:32:32.581-04:002015-09-22T15:32:32.581-04:00Dianne,
I just found your blog and need a little h...Dianne,<br />I just found your blog and need a little help. We recently sold our vacant lot in Florida, cash sale through a Realtor. The buyer chose the Title company. We live out of state. Our agent in Florida represented us. We received the closing documents via email and we reviewed them. Speaking with our agent she said everything looked OK, we signed and fed-exed the docs back to their title company. Our agent went to the closing, received our check. Three days later we receive an e-mail from the title company stating the closing statement was incorrect and the listing and selling agents commission was 5% and should have been 10% therefore we need to send a check for $400.00 immediately.<br />My question is, these documents are reviewed by all parties before sitting in a closing. As a real estate agent, wouldn't you look at your commission? When we got the closing statement we reviewed line items that pertained to us; property taxes, lawn mowing etc.<br />Having been in banking prior to retirement, and doing mortgage closings, these documents would have been reviewed by two sets of eyes prior to customer closing. If there was ANY mistakes at that point, we the bank absorbed that and if large enough those employees were written up. Again two sets of eyes.<br />May I please have your input as my husband and I feel this truly isn't our fault.<br />Thank you for taking the time to review.<br />SKB<br /><br />SKBhttps://www.blogger.com/profile/13877774529817846507noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-36067666159617803852015-09-17T10:13:49.880-04:002015-09-17T10:13:49.880-04:00Hi, Nicholas. Well first of all, the title compan...Hi, Nicholas. Well first of all, the title company made a HUGE mistake by accepting a check that wasn't a cashier check! What were they thinking? If it were a certified or cashier check, the money would be there no matter what. It wouldn't matter if your friend had cash because the money would already have been taken from his account and hold for this check. If they took a personal check, then it would have bounced anyway.<br /><br />For now, the title company will have to put their own money into the escrow account to cover the shortage. They have that obligation. They will desperately seek funds from you and may even sue you. They have that option because you do owe the money.<br /><br />You might offer to make payments. See if that's a solution that works for them. It may be cheaper than having to sue you.<br /><br />That's just crazy. Good luck and thanks for reading. ;)<br /><br />DianeDhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-23195526260614600452015-09-17T09:39:52.865-04:002015-09-17T09:39:52.865-04:00Dianne,
I just recently sold my home. At closing...Dianne,<br /><br />I just recently sold my home. At closing I was asked to bring 9K. I borrowed $3K from a friend. The following week the title company called me an told me that they punched a hole in the check by accident and would be sending it back. I told my friend and he doesn't have the cash right now and neither do I. What should I do. What will happen?Anonymoushttps://www.blogger.com/profile/07482046374291538502noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-90339340106625262612015-08-12T20:47:53.192-04:002015-08-12T20:47:53.192-04:00Hi, Brent. I do understand your frustration. Rem...Hi, Brent. I do understand your frustration. Remember, I'm not an attorney so I'm not giving you advice but giving you my take as a title agent. People do make mistakes. That's why people buy title insurance. <br /><br />First, go back to the contract you signed with the real estate broker. Was it for 7% or 6%? If it was 7%, you really do owe them the difference. It's the basic Golden Rule principle. Do under to others are you would have them do unto you.<br /><br />Pretend for a moment that the mistake was in the opposite direction. What if you had a contract for 6% and the HUD error was a 7% commission that you didn't notice until a month later, would you want your money back? Probably, right?<br /><br />That said, if the contract says 7% and you still don't want to ante up, then you could take a chance on whether these folks think it's a large enough chunk of change to fight over. They can always sue you and ask for costs on top of the commission.<br /><br />My way of looking at things like this is to go back to the deal and then honor it. ;)<br /><br />Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-66409420697404141192015-08-12T18:56:50.606-04:002015-08-12T18:56:50.606-04:00I was the seller of a home that closed July 7th. I...I was the seller of a home that closed July 7th. I was unable to attend to closing in person. Nearly 1 month later, the Realty Co. contacted me and said there was an error on the HUD-1 form and I was only charged 6% to the agents when it was supposed to be 7%. They asked me to simply send a check for $1750 for the difference. The amount on the HUD-1 form and amount deposited into my bank account matched. If I sent the check for $1750, then I am ending up with less money than indicated on the HUD-1 form. They sent me a revised HUD-1 form on August 11th (36 days after the closing) wanting me to sign it and scan back to them, and demanding that I pay $1750. I have not signed it, and it is my opinion that it was their error and I do not believe I should be held liable for their error more than 30 days after the closing. Anonymoushttps://www.blogger.com/profile/07203695141160853848noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-62607543312554685212014-08-20T09:27:03.267-04:002014-08-20T09:27:03.267-04:00Nice Post, we struggle with this every day. I am s...Nice Post, we struggle with this every day. I am sure that the general public has no idea what goes into getting a file to & thru closing. 2015 will be an educating experience for all of us in the industry!Anonymoushttps://www.blogger.com/profile/15429541795850455126noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-21859757199776449802014-05-20T14:47:38.534-04:002014-05-20T14:47:38.534-04:00Let's not forget the CFPB feels that Owners Ti...Let's not forget the CFPB feels that Owners Title Insurance is "Optional"Anonymoushttps://www.blogger.com/profile/15429541795850455126noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-58903186915022970262014-03-24T23:26:50.566-04:002014-03-24T23:26:50.566-04:00Hi, Richard. If this was a cash purchase, I sugges...Hi, Richard. If this was a cash purchase, I suggest writing a demand letter to the seller with a copy to your real estate agent and the attorney or title insurance agent who handled the closing. Be polite because the seller may not have noticed the error. Be sure to include a copy of the signed document showing that they agreed to the credit and also include a copy of the HUD-1 Settlement Statement to show that they did not give you the agreed amount. If you are lucky, the seller will send you a check. If not, you will have to decide if you want to pursue them in court.<br /><br />If this was a purchase involving a mortgage lender, the situation is more tricky. You must first make certain that your mortgage lender was aware of the agreed credit and approved of it prior to the closing. Be sure to get evidence of this approval in writing from the lender. If the lender did approve of the credit, follow the steps listed above as if it were a cash transaction. If your lender did NOT approve the credit or had never heard of it, then forget it. You can't take money from the seller without the approval of your mortgage lender.<br /><br />Hope this helps.Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-16709411493846017772014-03-24T22:46:32.048-04:002014-03-24T22:46:32.048-04:00Came across this and thought you might be able to ...Came across this and thought you might be able to help me. I closed on Friday and was looking over the paperwork again that night when I noticed an error where the HUD didn't include the agreed upon credit. I've been trying to work with the real estate agent to address this for the past month and just getting the run around and so not sure how to address this to finally get it resolved. Any ideas or am I SOL?Anonymoushttps://www.blogger.com/profile/04157440816621188104noreply@blogger.comtag:blogger.com,1999:blog-36096789.post-80673464531473887392014-02-12T14:58:01.987-05:002014-02-12T14:58:01.987-05:00SHOCKED! That's crazy!SHOCKED! That's crazy!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-36096789.post-22119406712882699982013-11-20T10:45:12.783-05:002013-11-20T10:45:12.783-05:00I know, Kathy. Perhaps PLTA needs some "best...I know, Kathy. Perhaps PLTA needs some "best practices", too, like verifying the identity of CE attendees. My hope is that this young lady misunderstood her boss and no one got credit for her attendance.Dhttps://www.blogger.com/profile/13347332449162866987noreply@blogger.com