Roles & Responsibilities of a Title Company

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By Rochford Law Posted on November 25, 2021 at 2:06 PM
 

When it comes to your current real estate transaction or investment, you’ve likely interacted with an inspector, a realtor, and probably even a lawyer. However, when it comes to the title of your property, a successful closing transaction will require some past information about the property. Oftentimes, completing a thorough title search on your own, without the proper legal background can be challenging.

Title companies can provide buyers and sellers with the protection they need when it comes to the legal jargon and paperwork required of your transaction. In addition to facilitating the transaction, a title company protects lenders.

Here are some of the roles and responsibilities of a real estate title company:

  • Past Title Search
  • Issues with the Original Contract
  • Navigate Title Policies
  • Closing on Your Property

Past Title Search

Many newly built homes may not provide easy access to history, especially those built in newer or updated neighborhoods. The assessment of the past of your home is useful not only for providing more information about your property, but also if you decide to sell it later on. Oftentimes, while you can do a title history search on your own, a real estate title company can take a more in-depth look at the public records of a property when researching said property's title.

Using this information, a title company can identify issues that are not immediately apparent to the buyer. Responsible for verifying that the property sale is legally legit, as well as clarifying any potential property-related issues, a title company can also uncover existing easements, leases, as well as liens and unpaid taxes.

Depending on which real estate title company you work with, you may be able to request a survey from your attorney to see where the property lines are and to determine if any other issues need to be addressed before closing.

Commercial real estate closings in Nashville necessitate an experienced real estate attorney. Visit Rochford Law & Real Estate Title today!

Issues with the Original Contract

If you are buying or selling a property, your original contract may contain ambiguities. In order to complete a successful transaction, your contracts must be filed properly by each party involved. If ambiguities are found that drastically impede the sale process, a lawsuit might ensue.

A professional title company's direct knowledge of the title transfer process is invaluable during challenging times like a real estate transfer. An educated representative from your local title company can guarantee you success, whether you’re dealing with a contractual breach, or any other issues that arise involving your current/future property.

Navigate Title Policies

Despite the fact that most property records are thoroughly examined throughout the transaction process, many unforeseen problems may arise later within the timeline of your purchase or sale. For this reason, title insurance is highly recommended. Title insurance is typically sold by real estate companies in two categories.

Those categories are typically lenders policies versus owner’s policies. If you are unsure which title insurance would work best for your scenario, a title company can help you discern what will work for your needs.

Lenders Policies

Loan Policies involving lenders, provide loans to homebuyers. Until the full loan amount is repaid, this type of policy remains in place. When title issues occur, lender policies may only cover the financial institution.

Owner’s Policies

Owner’s Policies ensure buyers are protected from possible title problems. However, it is advised in many cases even if it is generally optional. The warranty usually lasts the length of the homeowner's ownership of the home.

Closing on Your Property

As well as closing your purchase, the title company you choose to work with can often also handle the final close of your entire real estate transaction. During the closing process, a representative of the title company will compile all necessary documentation. When necessary, title companies also act as agents for disbursement during the process of fund verification.

As a third-party neutral in the process of closing on your property, a title company is extremely useful. A title company can give you the advantage of ensuring all of your legal documents are properly addressed, signed, and filed. By using these services, potential legal problems can be avoided during the land transfer process.

Rochford Law & Real Estate Title

Working with an experienced real estate attorney like Rochford Law & Real Estate Title in Nashville, TN can save you time and money in the long run. It’s best to cover all your bases and get through a real estate transaction with as little problems as possible. However, it’s comforting to know that should a dispute pop up, a real estate litigation attorney can help find a resolution.

Contact Rochford Law & Real Estate Title today!

Topics: Nashville Real Estate, Real Estate Attorney, Real Estate Lawyers