Where to check for property leans (title search)

[Ed Bundz]

My search came up with an expired roof permit from 2004, and according to the building dept.,a sun room was closed in and devided into two rooms with out a permit.
They said these things would have to be "brought up to code". I assume before a CO would be issued. I have heard horror stories about people buying home that have had unpermitted work done and were fined. Thats what I want to avoid.
It is a HUD home where I am told they clear all encumbrances before closing (warentee deed). But like you said, a title search and insurance will also guarantee a clean title.

[TamRE]

Originally Posted by Ed Bundz

My search came up with an expired roof permit from 2004, and according to the building dept.,a sun room was closed in and devided into two rooms with out a permit.
They said these things would have to be "brought up to code". I assume before a CO would be issued. I have heard horror stories about people buying home that have had unpermitted work done and were fined. Thats what I want to avoid.
It is a HUD home where I am told they clear all encumbrances before closing (warentee deed). But like you said, a title search and insurance will also guarantee a clean title.

Here is the link to the HUD web site for information on purchasing HUD properties: About Buying HUD Homes

Warranty Deed: A deed used in many states to convey fee title to real property. Until the widespread use of title insurance, the warranties by the grantor were very important to the grantee. When title insurance is purchased, the warranties become less important as a practical means of recovery by the grantee for defective title.

[DennisDaMenace]

Originally Posted by TamRE

A title search is always done before you close on a house. The contract is based on having a clear title to the property. If there are defects in the title, it cannot close. The buyer can then back out of the contract or wait to see if the defects can be cured. A title company or real estate law office will handle the closing and do a title search. The buyer or seller can pay for it, depending how it is written in the contract. The above mentioned checks for liens and permits are important to do prior to even submitting an offer on a property. Checking for liens and doing a title search are two different things.

Lien - an encumbrance against property for money, either voluntary or involuntary. All liens are encumbrances but all encumbrances are not liens.

Title Search - A review of all recorded documents affecting a specific piece of property to determine the present condition of title.

Title Insurance - Insurance against loss resulting from defects of title to a specifically described parcel of real property. Defects may run to the fee (chain of title) or to encumbrances.

Defective Title - When title to real property lacks some of the necessary elements to transfer good title.

I am very familiar with the terms. I run a Title Insurance co. My point was, when buying a property on the courthouse steps, you have better have done your homework.

[TamRE]

Originally Posted by DennisDaMenace

I am very familiar with the terms. I run a Title Insurance co. My point was, when buying a property on the courthouse steps, you have better have done your homework.

Sorry Dennis, I wasn't necessarily describing the terms for you. It was more so for Ed and/or others interested in buying a home if they aren't familiar with the process.

[20yrsinBranson]

Originally Posted by Ed Bundz

I've been looking at Charlotte county tax sale properties, Short Sales and auction properties. They all mention that bid/sale prices may not cover all leans.
I figure there has to be a way to do title searches online.

Does anyone know of a free county/state website with this information online?

Many counties have built title plants (computerized title records). However, if you want to be 100 percent certain, either go there yourself and do a search at the courthouse or hire a title company to do it for you.

20yrsinBranson

[DennisDaMenace]

Originally Posted by TamRE

Sorry Dennis, I wasn't necessarily describing the terms for you. It was more so for Ed and/or others interested in buying a home if they aren't familiar with the process.

No worries, I have seen a number of people who purchased homes on the courthouse steps, without the knowledge or experience to do so, that end up actually getting more than they bargained for. Because they haven't done their due dilligence.

[Ed Bundz]

Thanks again for the reference sites.
I called HUD and was told the property is conveyed with a warrantee deed so if I understand the meaning, it should be a clean title.