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Escrow of the West - Beverly Hills / Fraudulent Escrow

1 9440 Santa Monica Boulevard #310 Beverly Hills, CA 90210Beverly Hills, CA, United States Review updated:
Contact information:
Phone: (310)402-5555

Due to the economy, I no longer afford my home and filed bankruptcy. It was then I was contacted by a buyer, whom said they would like to purchase my home and utilize a short sale. In order to do so, I had to relase Country Wide (my lender) from the bankruptcy.

The buyer said they would open escrow and deposit $18, 000 so that I would know they were sincere, they (buyer) also promised they had loan approval.

The buyer said we needed to use Escrow of the West and the escrow officers were Galit & Christina. They Escrow of the West told me not to worry as the buyer checked the NO LOAN CONTINGENCY section on the contract and if they withdrew from the deal or could not provide financing, I would be entitled to the initial deposit of $18, 000.

This was in November of 2008.

In March of 2009 the buyer lost her financing. She claimed to have another lender. Country Wide set the auction of my home for April 29th, 2009.

The buyer then said she no longer wanted my home. She defaulted. I called Galit at Escrow of the West and she promised to issue cancellation instructions. After two-weeks and constant phone calls, and my foreclosure sales date approaching, I learned she issued a refund of the funds to the buyer.

I threatened to file a complaint with the DRE and DOC. Remember my home auction date was approaching, she promised to issue cancellation instructions. I already had my property in escrow for 6 months.

Even though she promised my money was safe, she gave the deposit back to the buyer. It seems like a bait and switch in order to buy my home for less at auction. I still have not heard from Escrow of the West.

My auctioned was scheduled for yesterday.

If you are selling your home, make certain you are safe, go any place but Escrow of the West. Please read what they did to me.

1.) I take a home out of bankruptcy to sell

2.) I am promised if anything happens, the deposit is mine, and they assure me I am safe because the NO LOAN CONTINGENCY box is checked.

3.) The buyer defaults, my home is set for auction, they promise to issue cancellation instructions and then dodge my calls for weeks, finally issuing a refund to the buyer.

I believe this is fraud!

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Comments

  • Kr
      1st of May, 2009
    0 Votes

    You have a right to get mad. But it is not clear your rights. First, you claim you went out of bankruptcy for purpose of a short sell. While it is wrong, it is not illegal. You made the decision, the law will look at it that way.
    Then you say "buyer checked the NO LOAN CONTINGENCY section on the contract and if they withdrew from the deal or could not provide financing, I would be entitled to the initial deposit of $18, 000." Usually a No Loan Contingency is if the buyer can not obtain a loan, THEY get the money back. Or it can even depend on if they get the rate the buyer is looking for. Sometimes the actual paperwork that concerns the Contingency is filled out by buyer after the seller gets it, in other words there are blank lines that can be filled out. You must really know what it says.
    The buyers cancellations instruction should be handled by your Realtor, if you used one. And your Realtor maybe responsible for the mishap in the Contingency.
    Best bet for you is to pay for a one hour lawyer fee, who will not take on contingency (meaning you will pay hourly) and see if it is worth it.

    Kris Yates
    LoanTactics.com

  • Ma
      2nd of Mar, 2010
    0 Votes

    Kris, your take on the contract is wrong. Item 2K on the CAR residential contract states: Obtaining any loan in paragraphs 2C, 2D or elsewhere in this Agreement is NOT a contingency of this Agreement. If Buyer does not the loan and as a result Buyer does not purchase the Property, Seller may be entitled to Buyer's deposit or other legal remedies".
    Furthermore, an escrow holder is NOT allowed to disburse funds from a file without fully executed, mutually agreed upon, written instructions. If this escrow company released the deposit funds to the Buyer without this then they violated their fiduciary responsibility to the Seller and Buyer.

  • Lg
      25th of Mar, 2010
    0 Votes

    I also was scammed by escrow of the west. I bought my townhouse in November 2009 and they did not pay the HOA and the refund I was suppose to get till almost two months. Ivonne was my escrow officer after talking to her on numerous occasions I decided to contact her boss Gail. When I informed Gail of the situation she SCREAMED at me instead of solving the matter. I then decided to file a complain with the small claims court. As soon as they found out that I am filling a claim then they decided to pay the HOA and the refund check. I still till this day haven't received any closing documents form the company. I am still trying to get the copy of the HUD 1 so I can file for my income tax for the stimulus tax credit. I had such a horrible experience with Ivonne and Gail. I am so surprised that they are still in business.

  • Ca
      4th of Jun, 2010
    0 Votes

    Unfortunately for me, I had Escrow of the West chosen for me for my home-buying, and they are completely incompetent and rude to top it off. I can't offer details here for fear of reprisal (they are that bad), but after I close, I will come back and fill in the details. Do not use this company. Also, think about Yelping them, they have a page with no yelps yet, though they will certainly be getting one from me.

  • Ja
      16th of May, 2011
    0 Votes

    nor would I use LoanTactics.com
    No Loan Contingency means that the deal goes through with or without financing; if funds are not placed in escrow prior to closing and the buyer wants out, the seller should be entitled to the deposit since there was no loan contingency-how much more simple can that be?
    Loan Tactics advertises itself as a neutral third party dispensing advice; from what I have read, they could not have been more incorrect. How can the realtor have any effect on the loan contingency unless he is also acting as a mortgage banker (not just mortgage broker)
    The only worthwhile thing I saw on its website was to consult an attorney but not for the rationale Kris Yates provided.
    I have more problems with Loan Tactics, since I can read their statements; Escrow of the West is all hearsay (though it doesn't paint a pretty picture)

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