Title Company did not include Prorated Rent or Deposit

[Tom Lipps]

Hi BP!

I'm set to close on my first rental ($82k duplex) this Friday.

However, I received the Title Agency's Final Settlement charges and it does not include a Prorated Rent or Security Deposit from the seller (even though I explicitly asked for these to be included a week ago). They told me since this is a Short Sale that prorations and the security deposit would be handled outside of closing.

The current owner has been MIA (won't be at the closing). I believe she has already moved to another state, and left all her stuff behind. I'm 99% confident that if I don't get this at closing (little more than $1k), that I won't get it at all. 

I've started the conversation with my Agent, Lender, and Title Agent to tell them I'm not ok with this. Am I being thick headed by not being ok with this? Do you think I have ground to stand on? If so, do you think (this close to closing) that they'll be able to work with the Short Sale bank to get this fixed in time?

Thanks everyone as always!

- Tom 

[Wayne Brooks]

Your agent should have demanded it.  It was sent to the owner/listing agent (assuming agent was the "negotiator" with the bank) and supplied to the title co.  The title co. commonly does the negotiation/facilitation in place of the agent, for the last few years anyway, many won't do them any more. 

FYI, a preliminary (proposed) closing statement would have been submitted to the lender along with the contract and the owner's short sale package.  This would have been revised a few times during negotiations with the bank.

BTW, the Approval Letter from the lender is the only official document that approves the short sale, and under what terms.