02.29.08
Posted in Don't underestimate a title searcher! at 2:03 pm by Jeanne
I struggle, I believe the world is flat. With computerization, the world has become one. I know that we can and are significantly cutting the cost of posting title plants outside of the US. I know that with a solid education system for title plant personnel, outsourcing of title plants to other countries can produce an excellent product at an excellent value.
I also know that with 50 states, 3143 Counties, Parishes or Independent Cities and tens of thousands of taxing authorities in the USA, a “thorough” title search can only be compiled at the local level. There are just too many nuances. Did you know that a parking ticket is a lien on the land in some jurisdictions? Ever heard of an airport lien? How about sidewalk liens, ditch liens, impact fees? Every jurisdiction – federal, state, county, township, city, village jurisdiction has its own rules and regulations. Every jurisdiction – federal, state, county, township, city, village has its own politics that will not allow complete sharing of information. The shear quantity of information (at this point in time) together with local politics (possibly forever) does not allow the possibility of a complete, thorough and accurate title search without local intervention.
We still need a competent local title abstractor and a competent local title examiner to do the traditional solid title work that used to be the norm. The key here is used to be. What I think does not matter. Abstractors and title examiners are just passengers in the car. The title insurance underwriters are driving. We are just going along for the ride.
The title insurance underwriters decide HOW they want to insure real estate. The title insurance underwriters decide if they can best make a profit by becoming risk underwriters. The underwriters decide if outsourcing of title plants will occur because it is cheaper and their duty is ultimately to their shareholders. The underwriters decide if outsourcing of title examinations, commitments and title policies will occur because it is cheaper and their duty is ultimately to their shareholders.
A serious discussion needs to take place as to the future of the industry. But what about today? What do we do?
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Posted in Real Estate fun, Value of a title searcher at 12:06 pm by Jeanne
A serious discussion needs to take place as to the future of the industry. But what about today? What do we do?
I was in a smaller population county in Nebraska yesterday (2-20-08). County seat, Wilber, population 287. I was in the Register of Deeds office. It was a welcome step back in time. There were no guards, or metal detection devices scanning me as I walked into the Courthouse. I was doing local research. I walked in, said I was a certifed abstractor and would like to look at some titles. The Assistant Co Recorder showed me into the record room. I asked if the books were grantor-ee or set up by Sec-Twp-Rge. They acknowledged the tract index books. I pulled the appropriate tract index, and within a few minutes had all of the documents that I was looking for on hundreds of acres and millions of dollars of property. The books are the traditional, individually typed index pages. Older pages were encased in plastic covers to protect them. Photocopies of original documents were well organized and maintained. They explained there was an off-site duplicate copy in case of disaster. Exactly what you would hope for from your local county recoder.
Then on to the Court Records. I looked up the Last Will and Testament and was able to determine 4 generations of owners with the same first and last names, but different middle initials. Great-grandfather, passed onto sons and grandsons, etc, all with variations of a name. Cleared up all those various different wives names in the chain of title. It was quite a trip.
This County has no real estate records online. This County has no real estate records even on computer. And abstracts, I was told, “hardly exist any more in this county. Title insurance has taken over. To do title work, the local abstract company has a part time employee who goes to various Courthouses to pull the documents.” The county employees were very knowledgeable and very helpful. They knew the family and a bit of the history. It was like going home, in a way. They even called ahead and told us the best place to eat lunch. The Wilber Hotel is a great place to eat.
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02.26.08
Posted in Real Estate fun at 12:16 pm by Jeanne
A lady died this past January, and Citibank has billed her for February and March for the annual service charges on her credit card. They then added late fees and interest on the monthly charge. The balance had been $0.00, now somewhere around $60.00. A family member placed a call to Citibank. Here is the exchange:
Family Member: “I am calling to tell you Aunt XXX died in
January.”
Citibank: “The account was never closed and the late fees and charges still apply.”
Family Member: “Maybe, you should turn it over to collections.”
Citibank: “Since it is two months past due , it already has been.”
Family Member: So, what will they do when they find out she is dead?”
Citibank: “Either report her account to frauds division or report her to the credit bureau, maybe both!”
Family Member: “Do you think God will be mad at her?” (I really liked this part!!!!)
Citibank: “Excuse me?”
Family Member: “Did you just get what I was telling you - the part about her being dead?”
Citibank: “Sir, you’ll have to speak to my supervisor.” (Duh!)
Supervisor gets on the phone:
Family Member: “I’m calling to tell you, she died in January.”
Citibank : “The account was never closed and late fees and charges still apply.” (This must be a standard phrase assigned by the bank!)
Family Member: “You mean you want to collect from her estate?”
Citibank: (Stammer) “Are you her lawyer?”
Family Member: “No, I’m her great nephew.” (Lawyer info given)
Citibank: “Could you fax us a certificate of death?”
Family Member: “Sure.” (Fax number is given )
After they receive the fax:
Citibank: “Our system just isn’t setup for death. I just don’t know
what more I can do to help you.”
Family Member: “Well, if you figure it out, great! If not, you could
just keep billing her. I don’t think she will care.”
Citibank: “Well, the late fees and charges do still apply.”(What is wrong with these people?!?)
Family Member: “Would you like her new billing address?”
Citibank : “That might help.”
Family Member: ” Odessa Memorial Cemetery , Highway 129, Plot Number 69.”
&nb sp;
Citibank: “But, Sir, that’s a cemetery!”
Family Member: “Yes - Well what do you think we do with dead people on this planet???”
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02.23.08
Posted in Education at 3:06 pm by Jeanne
We all know about not saying anything on your cell phone that you don’t want overheard, but, be careful how you list names in your cell phone contact list!
Susan changed the way she lists names on her cell phone after
her purse was stolen. Her purse contained her cell phone, Credit cards, checkbook, etc. Thirty minutes later, after finally locating a pay phone, she called her Husband, telling him what had happened. Hubby says “OH NO! I just received your text message asking about our Pin number and I already replied.”
When they rushed down to the bank, the bank staff told them a thousand dollars (limit on their ATM card) had already been withdrawn. The pickpocket had actually used the stolen hand phone to text ‘hubby’ in
the contact list to get hold of the pin number. Within 20 minutes the thief had withdrawn the money from the bank account.
Moral of the lesson: Do not disclose the relationship between you and the people in your contact list. Avoid using names like Home, Honey, Hubby, sweetheart, Dad, Mom, etc……. And very importantly, when sensitive info is being asked thru texts, CONFIRM by calling back.
Also, when you’re being texted by friends or family to meet them somewhere, be sure to call back to confirm that the message came from them. If you can’t reach them, think twice about going places to meet the unknown ‘family and friends’ who text you ..
PLEASE PASS THIS ON TO ALL OF YOUR FRIENDS!
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02.21.08
Posted in Industry News at 8:14 am by Jeanne
Minnesotans believe they have more than their fair share of honesty and integrity. They seem to believe everyone is good and honest unless proven otherwise. They call themselves “Minnesota nice.” A transplant from the east coast once quipped “Ah yes, Minnesota… the land of the nice, being nice to the nice.” He didn’t believe it, and ended up moving back to New York. Perhaps he was right.
Case in point: Yesterday, a “nice” 50-year-old Chaska, Minnesota woman pleaded guilty to fraud and money laundering charges that netted her more than $2.5 million in her title business. The woman was the sole owner of the title company that closed residential mortgage loans and real estate sales. Her underwriter, obviously to ward off problems, apparently required her company to deposit sale and mortgage proceeds into a specified escrow account funds where it could be monitored. However, unbeknownst to the underwriter, she deposited a significant amount of money from closings into another account, and used the stolen money on houses, landscaping, a vehicle, motor home, a cabin and a boat. The case was investigated by a nice guy who works at the criminal division of the Internal Revenue Service.
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02.12.08
Posted in RESPA at 8:05 pm by Jeanne
I am certainly aware of what I consider not only unethical, but illegal kackbacks in the title industry going back well into the 1980’s. For example, giving real estate agents their commission check at the closing only if they close with the affiated title company for one. I mean, tell me, as a real estate agent, living from paycheck to paycheck, is it NOT an inducement to do business when your employer says “well you can get paid immediately if you close with us, or we can pay you next month if you choose to close with any other title company.” But here is a blog item that I think tops them all, showing that problems are more egregious than ever. (To see the full blog, and to see what the public is seeing about us, go to: LATimes.)
“I used to work for a Title Company. When I was working for a competitor this Title Company recuited me with a hefty Bonus. Then told me to bring them all the business I had at ANY cost. I did! Flew me out of state to a Lenders Main Branch 3 times. They gave this Lender a kickback for every closing. Then the market changed, people were asking questions. Guess what, they found a way to get rid of me How corrupt is that. Now this “Bloodless Empire”, that’s what everybody calls them now, gets away with murder. Trust me, this is a “Bad Industry” today. 20 years ago a “Great” Industry and a nessesaty. Today, I’ve seen so much and can tell you a lot that has gone on, one for instance, is a golfing trip to La Jolla for 2 days including a dinner out in Downtown San Diego on a weekend, ran by a Title Co. Sales Rep in which my company paid for. Also, a golfing excursion to Mexico, Las Vegas, Cocktail parties, Tickets to Laker/Dodger games, a tent at the Buick Invitational. All with R.E agents and Lenders…. I can go on and on!!! You tell me…. Legal????”
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