I closed on a house in Texas last July. At closing, they estimated the property tax for the year and then had the seller pay the prorated portion of the tax for the time they owned the house in that year.
At year end however, we discovered that they had underestimated the tax and we were short on our escrow by about $2000. The mortgage company made us pay the difference to "Catch up" our escrow.
The thing that makes me mad is that this means that the sellers underpaid the tax by over $1000 at closing. Whose fault is this, mortgage company, title company, or me? Is there any way I can recover the money from the title company? Are they liable?
Read more: The Title company underestimated my property tax at closing. Can I get money from them?
