Expert: Dick Dennis - 1/8/2010

Question
Hi Dick,
The title company made a HUGE error on our HUD.  The HUD showed property taxes of about $3,000 and it turns out they were $6,000 !!!!  The lender escrowed based on $3,000 in taxes for nearly a year, and then wacked us with a huge escrow increase to make up for the mistake the title company made. We have struggled with the financial consequences for nearly 3 years.  Do I have any recourse against the title company?  Thanks for any insight you could offer.  -Rose-

Answer
Yes, Rosemary. Go to the title company with your complaint AND your lender! Both should have known what your proper taxes were supposed to be. THEN go to a good local REAL ESTATE attorney to get this problem taken care of. I doubt if it is going to change the amount of the taxes, but REPRESENTATION is at the core here. The real estate agent and his/her company may be responsible, too. You may not have bought the property had you known the taxes were twice as much. That's why you should see that attorney. I do wish you well.

Dick Dennis
dixiedee13@aol.com
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