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Report: #1483842

Complaint Review: Star Title Partners - Palm Harbor fl

  • Submitted:
  • Updated:
  • Reported By: Gary — Florida United States
  • Author Confirmed What's this?
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  • Star Title Partners 30522 US Highway 19 North, Suite 101 Palm Harbor, fl United States

Star Title Partners Star Title Partners of Palm Harbor, LLC They bungled the calculations on my home purchase. Palm Harbor fl

*Author of original report: Not in Marion County Fl

*Consumer Comment: Looks Correct to Me

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When I received the closing statement on my home purchase transaction, I asked for explanation of the 'non-ad valorem tax' adjustment on the closing statement and why I was being charged for the 2018 adjustment instead of getting a credit for same (a credit to the buyer would be 99% normal and customary).

The answer which was provided by the escrow agent says: "The non-ad valorem paid on 3/27/18 for $351.88 was for 2018".

Except that it wasn't for 2018 (the year of my purchase).  The $351 payment to the county assessor on 3/27/18 was for the previous year's property tax bill.

I challenged it then (before closing on the purchase) and they assured me I was wrongThe fact: The above-referenced tax payment made was for 2017.

They did the property tax proration backwards.  The upshot is that had to pay approx 150% of the property tax bill for 2018.  (By closing in early July 2018, the taxes should have been split approx 50%/50%.)  The extra ~50% I paid at closing was credited/paid to the seller, so the seller got a windfall (he may not even know).

I've been communicating with the company for more than 4 months trying to resolve.  Well mostly I write to ask for a response and mostly they just ignore me.  Company management (Shera Hunter) refuses to acknowledge that they made a mistake, and instead points out that I signed an acceptance of the calculations.  Yes: I did sign, but only because of their (employee) escrow agent's written assurance that the taxes for 2018 had been prepaid by the seller (see quote above).

Escrow prorations should be very straight forward for an escrow company.  Star Title Partners screwed up the facts: The day before closing they stated that the 2018 property taxes had been prepaid by the seller.  (Based on that assurance, I signed documents and closed on the sale.)  Only later was I able to confirm that the 2018 property taxes had not been prepaid.  Despite my challenging their settlement statement, they insisted their facts were right and their calculation was therefor accurate.

Over the last 4 months I've gotten more pissed by stonewalling and illogical arguments from company management.   Possibly they still don't understand, but it's not for lack of my trying to get through to them.  And if they don't understand why I am owed an adjustment from them, that would mean that they don't understand basic facts which are very pertinent to their core business.

It's a shame they can't be trusted to do the right thing.

This report was posted on Ripoff Report on 08/21/2019 03:55 PM and is a permanent record located here: https://www.ripoffreport.com/report/star-title-partners/palm-harbor-fl-llc-bungled-1483842. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year. Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report. READ: Foreign websites steal our content

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REBUTTALS & REPLIES:
1Author
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#2 Author of original report

Not in Marion County Fl

AUTHOR: Gary - (United States)

POSTED: Friday, August 23, 2019

Thanks, Jim, but that's not how it's done here.

Tax bills for the year are received generally in October and cover the same year January thru December. I have verified with the assessor and treasurer's offices that the tax bill covers only one year. Both ad valorem and non-ad valorum are on the same bill and applicable to the same tax year, not some of this year and some of next.

I stand by my original complaint on the rip-off artists at Star Title Partners.

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#1 Consumer Comment

Looks Correct to Me

AUTHOR: Jim - (United States)

POSTED: Friday, August 23, 2019

Non-ad-valorem taxes are always billed in advance by the county and included in the property tax bill for the homeowner.  In your situation, the seller of the property would have been responsible for the 2017 property taxes on the home, but the 2017 property tax bill would have included the 2018 ad-valorem taxes or assessments you would have been partially responsible for. 

The only proration that would need to be performed would be for the period in 2018 that you did not own the home - that portion would be assumed and paid by the seller.  Given the tax/assessment you had to pay was only $351.88, it sounds like they did the proration for the remaining months of 2018, based on what you wrote. 

The so-called windfall the seller received was for the ad-valorem taxes that were for the remaining months of 2018 he/she would not be responsible for.  Accordingly, the calculation looks correct.

 

It is something an escrow agent would know and it's too bad they could not explain it clearly enough or at least pick up a phone.  I mean we have the same thing in some areas of California, which are called Mello-Roos.  Works the exact same way.  A buyer here would be responsible for at least a part of the Mello-Roos fees on a prior year P Tax return, if Mello-Roos applies for the area in which the property is located.

 

Best of luck to you....

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