Why You Need To Read Your Title Commitment

The title process involves a lot of research on the property to be transferred, and a number of problems may come up after settlement if the title commitment has not been read thoroughly. For example, when a new owner realizes that they do/don’t have easements or right-of-ways, the dimensions of the lot were totally different from what they thought they bought, other entities had a claim to all or part of their lot and so on.

The title commitment has different schedules and parts which includes the following:

• Schedule A of the commitment details the parties involved in the sale – all the parties. If there are “misunderstandings” about who is actually selling the property, they will come out here.

• Schedule B of the title commitment details covenants and restrictions that apply to the property, from sources such as the development, associations, utilities and other entities including neighbors and who knows who else.

• Schedule C of the commitment has the infamous “legal description” that nobody tries to read. However, it’s not uncommon for buyers to read it and suddenly realize that the boundaries are nothing like they thought they were buying, or that the description is totally wrong or indecipherable (referencing rocks, trees, etc).

The Escrow period is the critical time for home buyers and agents to make sure the property they agreed to buy is indeed what is transferred on closing day and that there is no surprises.

At Boyer Law Firm we not only conduct a thorough title search but we make sure each and every document is read and that everything conforms to the requirements. If you have a closing and need a title commitment please contact us and we will be happy to help.

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