The Sanborn Team’s philosophy includes a commitment to “No Surprises.” That’s why we place so much value on the title search in each transaction.
Title, in its simplest terms, describes what the county assessor’s office has on file in regard to the property and who actually owns it. And while that sounds straightforward, title can be complicated by liens, improperly recorded ownership, unpaid taxes, and death or divorce of one or more owners, among other issues.
Problems with title lead to headaches, delays and expense — surprises that no one appreciates. The condition of the title may affect a buyer’s ability to get a loan to purchase the property or even the seller’s ability to place the property on the market when desired.
A title search, by a reputable title company, examines the history of the title and creates a preliminary title report that gives a general overview of the condition of title. The search, which is initiated as soon as the property is listed, verifies the property description, how and by whom title to the property is held, and what, if any, problems might exist in the chain of ownership.
The preliminary title report, which goes to the buyer’s and seller’s agents, the lender and the escrow company, determines the next step in the transaction. Does the title require payment of liens or other actions before the transaction can be finalized?
Once the accurate descriptions have been added to the purchase documents and the title “defects” have been resolved, the title company issues a new title policy, also known as title insurance. This is a document that protects both owner and lender and allows the transaction to advance toward the close of escrow.
Whether real property is a probate, trust, conservatorship, or a conventional sale, the title search is one of the most critical steps in a “No Surprises” transaction.
If you have questions about title, or about any aspect of the purchase or sale of real property, The Sanborn Team is always available to provide answers and assistance. Browse our website, Sanbornteam.com, and contact The Sanborn Team at 310-777-2858 or [email protected].