Rental Property Investor · Marlborough, MA · Member since 2016 · 26 posts · 5 votes
Bought a property in MA on December 2018. The closing included the seller providing credit for the tenants deposit checks.
Now I have my first tenant leaving and looking at his lease, I see that he paid last month up front. Examined the rest of the leases and one other tenant had this in his lease as well (total of 1800$). I was not credited by the seller for these amounts (verified in the CD).
1. Who's fault is it? Mine? The closing attorney? 2. Anything I can do now about it? So long after closing?
Tried contacting my closing attorney, but as soon as I got to ask what can be done about it, he disappeared not returning my calls or emails (maybe he realized it's his fault and doesn't want to take the blame?).
Contacted the seller as well, which said she'll check with her attorney, but never got back to me.
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
6y
That was on You to verify correct amounts credited....no one else. Yes, the actual seller would have an obligation to correct....but good luck with that.
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
6y
That was on You to verify correct amounts credited....no one else. Yes, the actual seller would have an obligation to correct....but good luck with that.
Rock Star Extraordinaire · Northeast, TN · Member since 2015 · 10k+ posts · 16k+ votes
6y
You're out of luck. You should have received and reviewed leases before closing and had tenants complete estoppel certificates. You will invest more in trying to recover this money than the money, so you will chalk it up to a lesson learned and not do it next time I bet!
Investor · Member since 2020 · 324 posts · 278 votes
6y
That's a huge bummer. Not much you can do...always, always check the details. You can try to see if the title insurance will cover it. No guarantee, but it's worth a shot. If your closing attorney won't respond, see if you can find the title insurance paperwork and reach out to them directly. Hopefully, the insurance company has people working over the virus.
Again, no guarantees, but it's always worth a shot to try to get something.
Rental Property Investor · Marlborough, MA · Member since 2016 · 26 posts · 5 votes
6y
Thanks very much for your answers, I will certainly be on top of that in the future. I was able to get in touch with my Attorney earlier, and he will send a letter to the seller's attorney about that. Hopefully the seller will understand. Thanks again.
Rental Property Investor · Marlborough, MA · Member since 2016 · 26 posts · 5 votes
6y
Wanted to update, that eventually my attorney and the seller agreed to split the 1800$, each will pay me 900$ (my attorney admitted he should have caught it, the seller admitted she owed it).
Faith in human kind not completely lost yet.. Thanks for your help again!