Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Hey all,
on the contract I am reviewing for an offer I made on a little place in Kokomo IND, cash purchase:
in the section for "title approval": the box is checked for the seller to "purchase title ins in the amt of the purchase price", NOT THE BOX that says "seller shall provide an abstract of the title to date free and clear" etc etc.
In my past homebuying experience, (FLA, VA and NC, this place is in IND) I paid for title insurance, seller paid settlement co fees to provide clear title.
Why would the seller choose this rather than the "provide clear title" option? Should I worry he has title issues?
I emailed the realtor to ask but thought I'd check here and maybe get an answer fast.
I would want a comprehensive title search and to see the list of exceptions to insurable and marketable title for the title policy that the seller is providing.
I am in NC, and that would be performed by a law firm. Indiana may be different. Probably is a bit different, but title concerns are always worth nailing down.
A bank will only allow so many exceptions before balking at funding. Being your own bank means being your own advocate for your funds.
IF you ever want to be able to refi and pull out equity or sell, you want to know exactly where you stand.
I am dumb.
are you saying he perhaps will not be getting a title search?
Unacceptable! 20 years dungeon! (Lemongrab from "Adventure Time" quote).
wait...I think you're saying he can get title insurance with perhaps some existing title issues that the insurance co shall accept and still write the policy?
Aw hell naw.
I am dumb.
are you saying he perhaps will not be getting a title search?
Unacceptable! 20 years dungeon! (Lemongrab quote)
He may or may not do a title search. He may be above board, or not. I dunno. That is why we have attorneys.
I am saying that in some areas it is a common scam to give a title policy and not cover certain very material exposures.
Most common, and accepted by most lenders, is not getting a survey. And, having an exception in the title policy for any issues that a survey may have detected. Buyers should always have a survey done, but not all do.
There may be other issues, estates and unknown heirs, liens, who knows what, and sometimes it gets very intriguing. I generally don't want a lot of "intrigue" around my money.
Pay a lawyer or title company for a good search and examination of the documents before you plunk down the green.
I am dumb.
are you saying he perhaps will not be getting a title search?
Unacceptable! 20 years dungeon! (Lemongrab from "Adventure Time" quote).
wait...I think you're saying he can get title insurance with perhaps some existing title issues that the insurance co shall accept and still write the policy?
Aw hell naw.
Not exactly.
The title insurance company may accept the risk, or may write in an exclusion for the risk.
The first usually works OK for the buyer. That latter option is where it gets murky.
I've never before encountered this, I always had title searches done, seller always paid.
I never had surveys done. Hm. Will see what realtor says, but I would prefer he had the other box (will provide clear title) checked, prior to proceeding.
Our replies overlapped, thanks so much for replying.
I've never before encountered this, I always had title searches done, seller always paid.
I never had surveys done. Hm. Will see what realtor says, but I would prefer he had the other box (will provide clear title) checked, prior to proceeding.
Our replies overlapped, thanks so much for replying.
I would have to defer to your Realtor, assuming you are working with a buyers' agent. I hope so.
Local agent should know the landscape in Indiana better than I ever would.
We have the option here in Colorado. Most people on the front range opt for the title insurance. Some rural locations have an abstract done by a title attorney.
I prefer to work directly with the listing agents, have done so for years.
I'm not an emotionally driven buyer, and I do not negotiate, just offer what I am willing to pay and withdraw if it is rejected, so this works OK for me.
This has me thinking he has title issues. Why not just check the box stating he'll provide clear title?
Don't like this at all.
We have the option here in Colorado. Most people on the front range opt for the title insurance. Some rural locations have an abstract done by a title attorney.
So are you saying opting for title ins rather than abstract does NOT indicate title issues necessarily and is a common thing in CO? What is front range?
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
