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Can I get my escrow money back?

I need some advice. I was ready to close on a property yesterday but the title company sent me a declination since the seller didn't provide the documents they were requesting. The problem is, the seller was the one who chose the company in the first place. Now they want to change companies to secure the said title without the docs. I'm no longer willing to push through with the deal but I don't feel protected. I have asked my agent to request my escrow money back but seller won't accept since seller claims they have found a company that will insure the title. What are my options here? by altenor18 from Miami, Florida. Mar 28th 2023 Reply


Dave Skow (daveskow)
#15 ranked lender in Washington - 455 contributions

any change to title / settlement firms need to be agreed to by all parties. If you dont want to change- you dont have to ..maybe review the reasons and options with the realtors involved to see if a solution can be figured out- good luck....Dave Skow | Loan Officer Movement Mortgage NMLS 278613 Dave.skow@movement.com Mobile (206) 714-9745

Mar 30th 2023
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Joe Metzler (JoeMetzler)
#17 ranked lender in Minnesota - 4,848 contributions

The purpose of a title company is what their name implies, to make sure title is accurate, and that there are no liens or issues that would effect YOU taking clear title to the home. If a second title company is OK with the information they have, and willing to insure and close the deal, I see zero issues with that. As long as you've bought the title insurance (almost everyone does), if there is a defect in the title down the line, you are insured and protected. Nothing to worry about. Sorry, but I am going with the sellers that you are breaking the contract, and therefore typically have no right to your escrow money back. Now, a side note to that statement, after negotiations, it is actually pretty rare you don't get most, if not all of your money back. Good luck. I lend in in FL, MN, WI, IA, ND, and SD. Find me at SaintPaulMortgageBroker.com | Cambria Mortgage, NMLS 274132

Apr 27th 2023
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