Posted by Steve Heller on May 05, 1999 at 19:04:26:
Thanks Ben.
Can Anyone preform a Title Search? - Posted by Steve Heller
Posted by Steve Heller on May 04, 1999 at 19:26:03:
Is it really necessary to have an attorney perform a title search. I am buying a residential lot. There was never an abstract so the owners are now having one built (I insisted on the abstract being brought upto date in the purchase contract). The current owners have a quick claim deed from the people they bought from. I am sure I will want to see the abstract after it is built but do I really need an attorney to do a title search?
Thanks,
Steve Heller
Re: Can Anyone preform a Title Search? - Posted by Rob FL
Posted by Rob FL on May 05, 1999 at 22:07:10:
If you deal with a title company instead of an attorney, it will probably save you alot of money and alot of grief. Many states allow closings to occur without an attorney being present.
Abstracts have gone the way of the dinosaur for the mostpart. Abstracts are pretty much totally useless unless you just want a history of the property’s title. An abstract contains all the documents recorded against a propertey’s title. However, it does not protect you against frauds, forgeries, off the record documents, access problems, water right problems, attorneys who don’t know how to examine titles. If you really want to know why you need title insurance and not just an abstract, check out the following website:
http://www.firstam.com/Q7Ph2ald/faf/html/news/chronicles/1000.html
Just for your info, I have worked for a title company since 1990 and have examined thousands of titles. And in my experience, the attorneys make twice as many errors as the title examiners working for the title company.
Re: Can Anyone preform a Title Search? - Posted by Irwin
Posted by Irwin on May 05, 1999 at 07:42:55:
Is there a reason you insisted on an abstract in the p/a? Is there no title insurance in your county? Basically, an abstract (of title), IS a title search. It is a formal compilation or typed summary of all recorded documents, and information that affects title to a particular piece of real estate. You can read it yourself to determine the “quality” of the owner’s title, or have it examined by an attorney who writes you a title opinion. Preparing the abstract is the seller’s expense and they can be very expensive to prepare. The attorney’s title opinion is your expense. Hardly anyone uses abstracts anymore. Title insurance is cheaper and ,more protection than a lawyer’s title opinion.
If this were my deal, I’d ask the seller to amend the contract to provide me a title insurance policy instead of an abstract. It will probably save both of you a lot of money.
Re: Can Anyone preform a Title Search? - Posted by Sue(NC)
Posted by Sue(NC) on May 04, 1999 at 22:24:09:
Anyone can perform the search, but to get title insurance, you will probably be paying someone for the search anyway.
There’s very little real estate I would buy without title insurance. (perhaps a residential lot would qualify, if it were inexpensive enough and if I were relatively sure that the title was clean).
Yes… - Posted by Bill K. (AZ)
Posted by Bill K. (AZ) on May 04, 1999 at 21:54:59:
Steve,
A title search can be performed by anyone. It is simply a matter of unraveling the chain of ownership by sifting through the county records at your courthouse. However, you may feel more comfortable having an attorney or title company perform the search for you. They know exactly what to look for and can advise you of any “missing links” in the transfer of ownership over the years. The “quit claim” deed the current owners have should have been recorded and will be available at your county recorder’s office as well.
If you are buying a property, I highly recommend that you get someone proficient in title searches to do this for you. You could be in for a BIG surprise from a past owner or lien holder if you don’t. My title company provides me with a “property profile” which contains current liens and encumbrances on the property in question. I give them a property address and owner’s name, and they return to me, within a day or two, the “property profile” free of charge.
Bottom Line: You can do your own property search, but, unless you feel comfortable with your ability to ferret out all of the nuances, I would let an attorney or title company handle it for your purchases.
I hope this helps.
Bill K. (AZ)
Re: Can Anyone preform a Title Search? - Posted by Steve Heller
Posted by Steve Heller on May 05, 1999 at 19:13:28:
Irwin,
The attorney said he needed it to preform a title search. And yes it is expensive $600 on the outside. The sellers allready said they would pay for it. They want to sell the property pretty bad, I think she is tired of mowing it. Would a title company give a policy on a property that hasn’t had an abstract? This is kind of new to me.
Thanks,
Steve Heller
Re: Can Anyone preform a Title Search? - Posted by Steve Heller
Posted by Steve Heller on May 05, 1999 at 19:16:17:
Sue,
I guess I’ll find out if the title is clean after the attorney looks it over. From some of the other posts here it seems like the thing to do. Would you suggest title insurance after the title search? Surely theres a real estate course on this somewhere.
Thanks,
Steve Heller
Re: Yes… - Posted by Steve Heller
Posted by Steve Heller on May 05, 1999 at 19:03:09:
Thank you Bill for your insightful post.
Steve Heller
Quit claim deed - Posted by Ben
Posted by Ben on May 05, 1999 at 06:14:53:
A quit claim deed merely conveys whatever title the
grantor has to the grantee (you). This makes proper title work more important than ever. Most people will not accept quit claim deeds because they can be fraught with problems. I would not cut corners here.
Re: Can Anyone preform a Title Search? - Posted by Irwin
Posted by Irwin on May 05, 1999 at 22:33:14:
The attorney can read the abstract and write you a title opinion. I presume that you have title insurance companies in your county. They normally work from data bases that they build themselves by constantly searching courthouse records. Even title companies don’t use abstracts, but if they have one that has been brought to date, they’ll use it along with their own title plant to issue title insurancr from. BTW, who built the abstract? It’s usually someone who works for a title company, or perhaps a courthouse worker. Since you have elected an abstract, if you now order title insurance, it will be your expense; however, the title company might give you some credit for the work done on the abstract since they don’t have to do much searching.
THIS IS GENERAL INFORMATION. NOT EVERY COUNTY IN THE U.S. OPERATES THE SAME WAY WHEN IT COMES TO TITLE INSURANCE/ABSTRACTING AND THE LIKE. I’M SURE THERE ARE SOME SMALL COUNTIES IN EVERY STATE THAT DON’T USE TITLE INSURANCE MUCH AND STILL RELY ON ABSTRACTS. YOURS MAY OR MAY NOT BE ONE OF THOSE.
Re: Can Anyone preform a Title Search? - Posted by Sue(NC)
Posted by Sue(NC) on May 06, 1999 at 07:06:40:
I would definitely suggest title insurance.
There are only 3 times I have not bought title insurance:
a lot I bought for $300 from the City of Raleigh
a lot my parents deeded to me
a condo I bought for homeowners dues, which I was
immediately deeding back to the previous owner w/ quitclaim.
There may be some instances when you figure that title insurance is unnecessary, but they are RARE. Even when you don’t have a lot of money INTO a purchase, you usually expect to get some money OUT.
Additionally, title insurance covers your future liability as well. Most buyers here (through the MLS especially) expect a general warrantee deed, where you are responsible for delivering a clear title.