As an owner at Family Abstract, Inc. we, and all title insurance agencies have a fiduciary responsibility to our insured, both the lender and the Home buyer equally.  We are asked to break our laws and guidelines quite often by a another third party to the transaction.  Our office encountered yet another Real Estate agent requesting, OK, demanding we release the funds because,” The Wire has been sent and we have a confirmation it was sent!”

The conversation was something like this:

Buyers Realtor:  As I already explained to your settlement clerk, we have confirmation from the bank, the wire has been sent!

Me: I understand and I can empathize with your situation but my hands are tied, we must abide by the “Good Funds Act” we don’t have a choice.

Buyers Realtor:  Are you really saying that the confirmation isn’t good enough?

Me: Yes

Buyers Realtor: I have never heard of such a thing! I am shocked and appalled!  If I say the wire was sent it was sent.  If the bank says its confirmed then you know it was sent.

Me: Then herein lies the issue, sent is not received.  The law was enacted over 5 years ago.  I remember a Penn Title  memo to all agents from Penn Title 1997. it said, "Not even just this once. Not even for your best customer. Not even if the Realtor, mortgage broker, next door neighbor, or borrower’s brother’s wife’s father
would like his check yesterday! NOT WITHOUT GOOD FUNDS! Additional memos followed.

Sellers Realtor: But my seller needs these funds for her purchase this afternoon!  You need to make them available! We are going to be late for their closing which will make me late for my hair and nail appointment.

Me: Mouth open jaw dropped, in awe!

Buyers Realtor:  You are the first title company (a perennial favorite) I have ever dealt with that won’t make an exception for something this ridiculous!  

Me:  Ridiculous?  I am not in receipt of the $530,000 your demanding i disburse,  I'm just saying... that seems ridiculous! 

Buyers and Sellers agent:  The wire, we told your girl and now you, was confirmed and on it’s way.

Me:  On it’s way. Check is in the mail!  Wire is in the clouds! Same story, updated version

Sellers Realtor:  You have other settlements going on today, I’m sure.  Why can’t you just use some of that money to fund our deal, then you can replace it when the wire, You are so worried about, gets there like we all know it will!

Me:  You are asking me to use someone else’s money to and use it for this settlement?  Co-mingle escrow funds? You just want me to borrow the money for a little while? Rob Peter to Pay Paul? Sure, I can rename the Agency, “Ponzie Abstract and Title” Is that what you’re asking?

Buyers Agent:  YES Exactly.  Its right for everyone concerned except you!  And lord knows you are replaceable!

Me: Well, have you both ever considered the potential impact on my clients and their lender, my partner and her 3 kids, our 22 employees and their families or my wife and our 2 kids, if this all blows up? It has happened, there are documented cases. 

Buyers agent:  You should consider them strongly when you tell me NO, YOUR FUTURE DEALS are at risk!

Sellers Agent: I’m working with 3 other buyers, if you can do this favor for us, I will introduce you to each of them.

Me: So, I do what you demand while you play "Good Realtor Bad Realtor" and I am guaranteed more deals from both of you.

Buyers Realtor and Sellers Realtor: Now you understand. That’s what we want.

Me: I will gladly fore go your future deals on behalf of my family, my partner, her family, our employee’s and their families, and OUR buyers and their bank, OUR INSURED!

And then the voices as if delivered from heaven...

Home Buyer:  No, that’s not what we want!  Thank You Glenn, I really appreciate the education and now I fully understand why your office suggested the settlement be later in the morning in the first place but the sellers agent said she had other plans for the afternoon.  I have friends buying homes, I’ll be sure to give them your contact information.

Seller: I understand completely.  I’m not happy but I get it.  I really don’t want money you don’t have yet?  That’s ridiculous!  It’s not like I could buy the next house with magic money, right!

Me to buyer and seller: I appreciate you both!  Thank you!

At Family Abstract, we continue to take the high road… no matter what! We believe the home buyer is the center of Real Estate even if we really never get the opportunity to let them know.  We are working hard to become more home buyer direct. Title insurance has become such a transparent part of buying a home,we are nearly invisible.

PLEASE TAKE 2:14 SECONDS AND VIEW MY xTRANORMAL CARTOON AND PASS IT AROUND, THANKS.