3 Things They Search For In A Title Search
When you are working with a lender, whether they be a local credit union or a large federal bank, they will typically run through a variety of different protocols to make sure that not only you as the buyer are protected but that they as the lender are also protected. One of the things that they will do is run a title search. A title search is a process of pulling up the title on your house to see if there are any title defects that are associated with the home that you are trying to buy. Because you will have to pay a fee for this service, there are a few different things that you should know about it.
Having a lien on a property is the last thing that you want to deal with as a homeowner. Sometimes homeowners will have liens against their house for a variety of things like lawsuits, defaulting on personal loans, or a variety of other issues. If you were to buy a house that had a lien on it, it would be your responsibility to pay the debt or you would have to fight it in court. When you hire a title search service, this is one of the things that they will look for on your behalf.
Another one of the biggest things that title searches are used for is the discovery of easements on a property. An easement on a property is when someone else has legal access to the use of your land, but you typically still own it. If you have an easement on the property that you are buying and you don't know it, you will have to deal with a lot of court time to resolve it.
Claims are similar to easements but rather than people only having access to your property they can claim part of your property which essentially means that they legally own it. Sometimes these sorts of claims aren't disclosed to sellers by the buyers which is why it's important to have a title service research it for you. If there is a claim, you can either try to negotiate with the people or you can just get out of the deal.
If there is anything that comes up in your title search, it is typically reason enough for you to back out of your real estate deal so that you don't have to deal with it. To learn more, reach out to a title search service near you.