Who’s responsible for additional fees from FHA loan?

Additional Information:

The closing attorney for the sale of my home in Sudbury was aware of the necessity to payoff my FHA loan by a certain time to avoid additional fees. The payoff was rejected by my lender because is wasn’t a “certified check, cashier’s check, or bank wire”, as required by the lender’s Payoff Statement. After being contacted by lender, he then sent a certified check which was received after the deadline and I was charged additional interest and fees. He admitted to ignoring the lender’s requirements, but refuses to reimburse me because he was not responsible for the payoff of my loan. What can I do?

ATTORNEY ANSWER:

Unfortunately, paying off an FHA loan always presents the problem of making sure that the payoff money is received before the next due date. We suggest that if your lender chose the closing attorney, that you go back to your lender and tell them that it is their responsibility to either pay the additional interest and fees or get the closing attorney to do so. Otherwise call us so that we can assist you. [Read more…]

Are they legally obligated to cover the closing costs on our Ashland home?

Additional Information:

We’re buying a home in Ashland and the seller signed an agreement to pay for our closing cost but apparently he didn’t know that what he signed was actually to do this. The sellers now understand that what they signed is a concession towards our closing cost but they never intended to pay it. They don’t even have a real estate agent as they are trying to save some money.  Are they legally obligated to cover our closing costs and what can we do?

ATTORNEY ANSWER:
If the Agreement states that the Seller pays the Buyer’s closing costs, then the Seller is obligated to comply with the terms of the Agreement, or they will have breached the Agreement.  We’d be happy to review the agreement and your rights with you and determine next steps.  [Read more…]