I would call your lender and title company to get them to explain it to you How did you leave the settlement table with a possible a $70k discrepancy?

A solid contract will protect you of course, but more than anything, it settles disputes and discrepancies before tempers flare, something you want to avoid with a relative.

I only found out months later once county records were mailed to me and there was a huge discrepancy.  

If so, 8” (.66’) is a Big discrepancy in horizontal survey on a 160’ run. 

There will most likely be some glaring discrepencies with what they say and what they actually do.

I'm not sure who I can talk to and have them review my specific escrow funds to see if they're seeing a discrepancy...Would it be a lawyer?

Do I have any recourse I can follow-up with from this discrepancy? 

If the cost to build was exactly equal all over the country, the discrepancy would still remain do to the values of the dirt.I believe that we will have the run up in prices over the next few years and when the charts show the bubble can no longer be sustained, it will be time to jump ship.

I would guess that "a little" work is more like "a lot" of work if there is a $55,000 discrepancy between what they want for the house and what the fair market value is.This could still potentially be a lucrative deal, just make sure you have a very good idea of the cost of repairs, the ARV, and also have financing for what will probably be extensive rehab.

When I took over the building I issued change of ownership letters and stated the deposit amounts I received (or did not receive) in escrow and that if there were any discrepancies the tenant would need to contact the previous owners directly.