Suing a real estate company

[Bienes Raices]

I don't want to get into the details here, but I'm owed a little less than $1000 due a mistake made at closing, on my personal residence. There is a possibility that one way of getting the money back is to sue the seller's real estate co. because they violated my RESPA rights.

This is a large real estate company in the area, so I'm wondering if I'll be put onto some kind of blacklist by them if I sue them? I plan to buy more foreclosures in the future, so I don't want to shoot myself in the foot and have them refuse to deal to me in the future, just to get the $1000 back.

There are other possible ways of getting the money back that I'm exploring, but this could be a last ditch option.

[Toby Boyce]

Originally posted by Bienes Raices:

It's not a gigantic amount of money but I feel that this title co. is generally incompetent and no doubt has already screwed someone else over through their negligence since this happened to me.

First, in response to your initial "question" on will you be black-listed by the real estate company. Short answer is "no". I work for one of the largest RE companies in Columbus, Ohio and point-blank agents do not work together for your name to ever be more than a "blip". Even if the broker wants to black-list you -- she/he would not see the contract until it was accepted and it would be very tough for her/him to block the deal. That would get their license in SERIOUS hot-water because s/he is jeopardizing the client's best-interest.

Did you have a buyer's agent in this transaction? The HUD-1 is a collection of information that is garnered from many sources -- and if you had a buyer's agent in this transaction that's where I would start. It is your agent's responsibility to make sure that YOU ARE PROTECTED in this transaction.

If you didn't have a buyer's agent in this transaction, then I would go after the seller's agent/broker and push for a "reason" as to why they chose that title company. If their is an ownership interest or "kick-back" then you may be able to get paid without having to invest money in more complaints.

In regards to actually going after the title company, in Central Ohio you would have a very tough challenge. Since we pay taxes one year in arrears the numbers are estimates and both sides agree to take the amount listed on the HUD-1 as being the agreed upon amount and neither will pursue money from the other based upon changes in the amount. Hence, you would have to show that the title agent intentionally erred on the document to defraud you of your money. Being incompetent is not a crime, fraud is.