Seller's agent insists on using their preferred title company

[dubyanumberone]

Originally Posted by Rakin

You may be right, but I thought it applied to conventional also. Still if you are doing an FHA loan it may be applicable.

In my state (Ohio) you cannot require a buyer or seller to use a particular title company.

OP shouldn't read too much into it. The main reason a seller will offer incentive to use their title company is to steamline the process. Usually REO sellers will have their title company preliminary complete title work before they accept an offer.

A title company has a duty to both buyer and seller (and lender if there is one) regardless of who hired the them.

[Brandon Hoffman]

Originally Posted by olessia

We have a problem with Fannie Mae property. We were forced to use their Title Company and now they are unwiling to sign some paperwork that my lender required. We were suppose to close on monday the 4th and we got an e-mail from the Adorno&Yoss satating that they will not sign:Acknowledgment of Privacy Policy and Summary of Services Expected, at 6:30 pm on a Friday the 1st. We are mortifyed. Is there anything we can do??? This is the only paperwork we need in order to close on the house.
And since it s a Fannie Mae the RESPA stipulation on title company does not apply.
This is in FL. Any suggestions?

Get your agent involved. We don't have access to the info or background that they do, so it's impossible for anyone on here to give you relevant advice.

[cheryjohns]

Originally Posted by EducationNeverEnds

It is not a Buyer or a buyer's Agent "Whim" it is a little thing called rights under the Law and people who chose to bend the law or break the law, run the risk of loosing their licenses, paying fines or incarceration. (Incarceration - highly unlikely but possible.)


Also, just as it is a Seller's Agent job to protect the Seller so is it the responsibility of the Buyer's Agent to protect the Buyer. And let's face it, without a qualified buyer there is no deal to start the process.

Sorry; but a 2 week Real Estate Course does not equated to an 8 year Law Degree, I take legal advice from my attorney.

Just a line or 2 from the handout -

From the RESPA ATTORNEYS SITE:
LAW SECTION QUOTE;
RESPA Section 9
Section 9 of RESPA prohibits the seller of a home from requiring the buyer to use a particular title insurance company. If the seller violates this provision, the buyer may file suit against the seller and recover damages in an amount equal to three times all of the title insurance fees paid by the buyer.
Section 9 often ensnares real estate developers and builders who make arrangements with their preferred title companies to handle bulk title insurance transactions in new home developments.
Also, attorneys for sellers who require buyers to use a specific title company can run afoul of the law.

We are talking short sales here. They require more than the normal amount of work - and we have title companies here that refuse to deal with them because of that fact. If the representative from the bank has hammered out preliminary work with a title company rep, they will refuse a buyer that wants to change "because". The last short sale I closed, a month ago, had 14 offers in. If one of those potential buyers had began demanding a new title company, after all of the preliminaries had been done, the bank just would have gone on to another offer.

[Jason Hasting]

I have experience with this because I am a Title Rep. My main goal is to get all agents to use my title company.This is probably the only three scenerios. Title reps usually come with large expense accounts to wine and dine real estate agents. We also provide marketing tools for listing agents and co brand with them at no charge. It is my job to befriend real estate agents. It comes natrual to me because the agents I work with I help them grow there business and because I do that well they will fight for me and my title company. It also helps when you have an Escrow office Like Nina avery or Dawn Blanton. They will streamline the process and keep everyone always in the loop.