I have been in the middle of an epic ridiculous battle that you cannot believe. I have a client who is a fix and flipper and we were in the middle of refinancing his home before he sold it so he can buy another property. Everything was great, loan docs were out, signed, and the wire was sent from the lender.
Then this ridiculously horrible title officer got involved and she stated that because there was work done on the property (it was a cosmetic remodel BTW) that they needed to wait 90 days before they could issue title insurance on this deal. 90 days. Let me say that one more time
90 FREAKING DAYS!!!!!!!!!
Does anyone else understand how ridiculous that is? It is insane. She told us we couldn't close this deal till October with their company. What??????
They said they needed this 90 day period to elapse in order to ensure that no mechanics liens were filed against the property. That constitutes a 90 day period. INSANE!!!
So ... I being the fighting, go getter awesome loan provider that I am dove in and started working with their underwriters. I got an entire indemnity agreement signed by the borrower and the contractor. Plus I had the contractor write a hand written letter that he was the sole person that worked on the property, that there were no sub-contractors that ever worked on it, and that he had been paid in full, all work was completed and he would not file a mechanics line against the property. BOOM! Overkill, no we can close, right? NOPE!!!!
The underwriters and their legal team said no. The said we need the full 90 day period to elapse. ARE YOU KIDDING ME!!!!! This happened yesterday.
So I closed today, less than 24 hours later, with Orange Coast Title and we disbursed funds today. They have no problem with the loan or the paperwork.
So .... STOP USING LAWYERS TITLE RIGHT NOW!!!!
I am dead serious. You cannot afford to deal with them. They are rolling this out as an internal memo that all branches must follow to a TEE. I don't care if your wife is the title rep. Have her polish up her resume and get her out of there right now.
Use them at your own peril. They are awful now. Run away... run away ... flee ... flee.