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We purchased a home, title gave us our pay out numbers, we…

We purchased a home...

We purchased a home, title gave us our pay out numbers, we signed all the docs, gave our payout money. about 6 hours later the selling agent in formes my agent that the seller has not paid his morgage in several months and there is a 14k back payment that title never cought

Lawyer's Assistant: Because real estate law varies from place to place, can you tell me what state this is in?

Tracy california

Lawyer's Assistant: Has anything been filed or reported?

No title checked feb 5 and there was nothing reported. we signed march 8th.

Lawyer's Assistant: Anything else you want the lawyer to know before I connect you?

Who is responsible for this? There is no equity on the property, the sellers are going to walk away with nothing. I thought title was supposed to check before they send out final pay out.

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Answered in 1 minute by:
3/11/2018
Richard
Richard, Attorney
Category: Legal
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Good afternoon. You are certainly not liable. Ultimately the seller is responsible because the seller is obligated to deliver clean title. . And, if the title company didn't get a payoff number prior to closing, the title company is also culpable.

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Customer reply replied 4 months ago
is title suppose to verify payout prior to sending out docs?

Yes, the title company should have confirmed payoff as of the closing date. It's negligence not to have done so.

Richard
Richard, Attorney
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Customer reply replied 4 months ago
Thank u.

You're very welcome! It's been my honor and privilege to help you with this. If I can help you in any way in the future, I'll be happy to help. For easy access, my bookmark is: www.justanswer.com/law/expert-legalbeacon/ . Or, simply request “Richard only” in the first line of your question.

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