Title Company Credibility- Mike and Shana Acquisto is real estate brokers and co-owners from Acquisto real estate, and do you understand that all title companies were not created equal each and more? A little bit different in this one. It has to do with financial stability and credibility. So, Sean, why don’t you talk us through a couple of these items here?
So your partnerships that you have the title companies are extremely important.
So when something that we do see is when the market is good and everything’s great, everyone wants to capitalize on it, which means new people will come in and get into the business thinking, oh, I’m going to make make some good money here, OK? And one of those businesses, you may see a new title, companies pop up. And I’m not saying that all new title companies or new businesses aren’t great, but what you need to do is just always be careful.
Even the the big ones can slip from time to time. But your partnerships with them are very important. Know what questions to ask and know how to check these title companies. We have seen over the last month a couple of situations that actually were quite scary. Yeah. So we’ve seen that an escrow check or a commission check was sent out and actually bounced from a title company.
And I do know that some title companies will just, you know, disclose that. Please wait 24 to 48 hours before you cash your check. But to me, might not have funded from the may not have funding from the bank and they go ahead and do that. So I understand that. But guys, we have to be careful.
I mean, I know that there’s a fee to wire funds, but for me, I would rather know that I have my funds right and do the wire. So I would think about that. If you are one to not have your funds wired, maybe you want to start doing that. But that was you know, that was something that kind of struck me as odd. I’ve heard another situation of power, of attorneys getting signed.
And, you know, at the end when the funds are dispersed, you know, if you have say you have an estate and you have a will and certain people are supposed to receive proceeds from a sale and they don’t, what happens? So we had a situation actually yesterday with a networking group that I’m in. And, you know, there was a power of attorney and a will and everything.
And one check went to one sibling and there were four others that were waiting around and they were relying on that one sibling to give them the money. And that’s not what the will said. That’s not I mean, the title company did that, you know, in an error. So, you know, you will say that it was supposed to be split.
And it sent all the one place only sent to like you. So say you. And I said yes. So that’s a situation that it’s really hard to undo. Oh, yeah. So, you know, to avoid situations, please be careful when you’re choosing a title company, OK, this is the sellers or the buyers. It’s the client’s responsibility to choose.
It’s their decision on who you choose. It’s negotiable, but just knowing enough to give them some information and guide them when they are making decisions, you know, it’s not just, hey, my my brother has an affiliation with this company. We want to use that title company and their brand new a fee office or something. Just, you know, do your homework and understand.
Title Company Credibility
There is also a way that you can go in and verify if the title company is licensed and able to do to to conduct this and provide this type of insurance and if they have any complaints. All right. So you have a link. Yes, there is a link that we are providing, and it’s the Texas Department of Insurance.
And you can go in there and you can search for a title company and kind of do a little research there as well. You see how long they’ve been in the business and, you know, like I said, complaints. So I would I would encourage everyone to just do that. If it’s a title company that you haven’t heard of, just do a quick check and just make sure they’re legit.
And, you know, very good to see your pull up on the screen right now and kind of going through it. So this is where you could go ahead and do your search, right? Yeah. So as we look through here, you’d be able to find all those different details we’ve went over in the past. A couple of things that I’m going to kind of try to like link together here right now is this is a governing body so you can do a search and look these people up. Right? So that’s the idea behind the title stuff to see what’s going on.
And you have other searches that we’ve been alerted to recently as well. So if you want to look at past episodes, you could also find things like where the lemon. Here’s are checked to see if their license there’s a same similar thing for Texas real estate, and you can see if the agent is actually licensed in the state and kind of what’s going on.
We actually discovered on multiple occasions that someone is conducting business and their license inactive. Right.
You wouldn’t believe it. And I was like, are you kidding me? And they are not licensed. Very interesting. So anyways, things do happen, so if you want to check any of those things out, this is kind of a reminder there, right? So you can look at all those different ones. I’m trying to weave these topics together for you. Right. To protest. So we kind of see what’s going on.
You want to protect yourself and you want to protect your clients.
So, yeah. So let’s go back just to talking head here for a second. And I’ll remind you, Shauna talked through having your money wired to you. Mm hmm. And there’s a fee associated with it on your side when you receive it. There’s a fee or a charge or expense related to the title company, dispersing the money and overnighting it to you. Right. So there’s a fee kind of both ways.
And one is on your side to get the money quicker and the other is on their side to to send it out so people make a decision in that way. Now, if I was kind of looking for a litmus test and when you should do it, I would think that an amount over a thousand dollars should be right.
I know it should be wired.
If you’re receiving a smaller amount, then I think it is respectful to have that sent to you and not have them do it. So sometimes it’s about the expense, but it’s also the effort that goes into it a little bit harder for them to kind of wire things, net to confirm it and whatever goes on there. So it kind of be respectful there. If you do work with us here to Aquista Real Estate, you that information would go to Stacey on where you want it sent. And Stacey has a way in the KDA module that she saves those items as standards for you.
And so if you want to discuss those directly with her and you want to update any of that information, Stacy is the one that would have that. And she’s kind of like the gatekeeper there. OK, so sometimes you want it sent to this account or that account or you want some logic, just give that to Stacy and she can hold on to it and save it in the system for you.
Thank you, Stacey, for taking care of that for us. Nice job. Great job.
And thank you to the title company for going ahead and disbursing it all over the place where that should necessarily go. Yes. So, yep. Very good pass topic that also interlinks on this one is title companies and we’ve done a bunch of different things on how companies recently wire fraud. Yes, we’ve talked about that. Yep. So there’s just a bunch of different items there.