| Title Companies And Your Home |
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| Written by Nathan Oulman |
| Tuesday, 27 July 2010 14:40 |
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The step after having a fully executed contract for purchasing or selling a house is to open escrow using a title company. Many people have no idea what a title company actually does and why they need a title company involved.
The step after having a fully executed contract for purchasing or selling a house is to open escrow using a title company. Many people have no idea what a title company actually does and why they need a title company involved. There to offer protection to the two parties, a title company proves to be critically important for the transaction. So what is this protection that title companies are offering? If you're the buyer, the title company will guarantee that the house or property you are purchasing has clear title, a short way of saying that there are no outstanding liens or other problems with the title. This type of cloud can often lead to the buyer backing out unless the title company and get a clean title report and they will work diligently to get the clearance and guarantee to the new buyer that they have a clean title. The title company will also work on other details of getting the public report or covenants conditions and restrictions for the community and getting them to the buyer for review. They will be handling all of the signing for both the buyer and the seller. The lender will send over the loan documents to the title company and the title company will bring in the seller for signing off on the property and the buyer to sign the loan documents as well as the title documents. Placing the house in the buyer's name and actually liquidating the existing loan before attaching the new loan to the property, after all parties have finished signing, the loan documents are sent back over to the loan officers for funding of the loan, and finally all of the paperwork returns to the title company one last time so that they are able to send the documents out to be recorded, as this finalizes the transaction. They will collect the funds from the buyer for closing costs and down payments as well as give the proceeds of the transaction to the seller once the home has officially closed and recorded. Although consolidation is typical in the kind of market we are in nowadays, it is true that a large number of title companies have closed down some of their offices or gone out of business entirely. You should make certain that you are dealing with a title company that has existed for a good while. Although the purchaser typically gets to select the title company which is utilized in the transaction, when the home is owned by a bank, then the bank will often employ a single title company for all of its home sales. DISCLAIMER: This article is provided as information only and is not to be taken as financial advice. Learn more about homes gilbert. Stop by Nathan Oulman's site where you can find out all about homes in ahwatukee and what it can do for you. |
| Last Updated on Thursday, 29 July 2010 08:59 |