Title Problem/Money Held in Escrow

My mother sold her home in New Jersey 2 1/2 years ago. The title search discovered at the time she originally bought her house the selling agent gave them $400 which was called a mortgage. She can't remember why as they had a regular mortage for the bulk of the purchase price (approx. $12,000). She knows both these were paid off but she only had proof of the one for $12,000. This all happened 50 years ago! Her buyer's agent held $2,500 in escrow for this $400 until this was solved, but now 2 1/2 years later nothing has been done. She has a lawyer who told her it would cost the whole $2,500 to wipe this out and free up her money. This can't be the case. This is 50 years old, the original real estate company no longer exists and no one involved can be located. My mother is now in failing health and needs this money. Can anyone lead me in the right direction?

[HomeGuru]

Is the escrow co. still around? That is who you need to go to.
If not then most likely the money is gone. Someone spent it or maybe it was given to the State.

As far as I know the buyer's real estate agent held the escrow money. They are still around but my mother's lawyer has talked to them. They are saying the money can't be released until there is proof that it has been paid.

[HomeGuru]

Originally posted by Diane Page
As far as I know the buyer's real estate agent held the escrow money. They are still around but my mother's lawyer has talked to them. They are saying the money can't be released until there is proof that it has been paid.

**A: we are not on the same page here. If the Buyer's agent has the money then it is not escrowed funds.
I know that you have not stated the real and complete facts. Therefore please hire an attorney to help resolve the matter.

You are right - it is the Buyer's attorney who is holding the funds in escrow, not the agent. Other than that, I have stated the real and complete facts. My mother has a lawyer who said he has done everything he can think of, but cannot find a precedent. He advised us that hiring a lawyer with more real estate experience would probably cost her the entire $2,500.

[HomeGuru]

Then she has to decide whether she wants the matter resolved once and for all or kept as the status quo.

Just to let you know, this matter was finally solved. I wrote directly to the buyer's attorney who refunded the money he was holding in escrow to my mother. She died shortly thereafter but was very happy to have received this before her death.

[HomeGuru]

[quote]Originally posted by Diane Page
[b]Just to let you know, this matter was finally solved. I wrote directly to the buyer's attorney who refunded the money he was holding in escrow to my mother. She died shortly thereafter but was very happy to have received this before her death.

**A: thanks for the update. Did the check include interest because it should have unless the instructions specifed otherwise.

The check did not include interest, in fact it was slightly less than the $2,500. After all that time, and dealing with my mother's illness I did not pursue it, although now that things have calmed down I can see I probably should have. Nevertheless I am satisfied with the results. Thanks for your help.

[HomeGuru]

Ok, thanks for the update.