Why You Need an Expert Title Search
Anyone can perform a title search on a property, but don’t assume that it’s an easy task. If you’re serious about purchasing a property, whether it’s residential or commercial, invest in a professional title search from a reputable title company.
What is a Title Search?
A title search is the process of collecting and examining any documents regarding the ownership of a property. A thorough title search will reveal any court records, chain-of-title documents (showing the history of the property’s ownership), and any liens filed against the property and when and if they were satisfied or paid off. The purpose of the title search is to confirm that the seller has good title can transfer or sell the property, and that there are no outstanding legal issues or liens with or against the property that could affect the sale or your ownership rights at a later stage.
Any documents pertaining to the transfer of titles, deeds or land are considered public record, which is why technically anyone can perform a title search.
Why Shouldn’t I do it Myself?
You could go down to your local county record office, real estate tax collection office, and district court, and perform your own title search. But do you really know what you’re looking for? Even if you’re competent with documents and records, there are a few things you could miss. It’s also a detailed, time-consuming and demanding process. A title company can perform a comprehensive title search that goes beyond what you may have access to.
Here are a few things a professional title search can do for you:
- Ensure that the chain-of-title is complete and accurate. Any omission could lead to someone contesting your right to the property.
- Uncover problems with the existing title, like contested ownership or an undeclared heir to the property. The title search may also reveal co-owners or investors that were unknown to you.
- Some titles may come with conditions, like restrictions on rezoning, refurbishing, or use of the property. For example, if you’re planning on building an attachment to a house, you need to know what limitations or regulations may be attached to the title. If you’re buying commercial real estate, there may be clauses that require you to purchase the equipment and assets attached to the business or which may not allow you to conduct the type of business you are contemplating operating in the property.
- A good title company will also keep an eye out for misrepresented ownership: forgery or poorly-done paperwork can make a title illegitimate, which can be very costly to you later on.
- Reveal pending lawsuits or liens against a property, as well as outstanding mortgage payments.
- Make sure that the property taxes have been paid and are up-to-date.
- Recognize any legal flaws, mistakes, or omissions in the documentation that could render your right to the title contestable.
- Disclose any easements on the property. An easement, which may be recorded or possibly unrecorded that gives someone else the right to use part of your property for a specific purpose. For example, your neighbor may have an easement that prevents you from building a second story that would block their view.
- Your title company should also know any state or county laws that potentially affect the property.
With all these different aspects to consider, it’s actually easier and less stressful to pay for the services of a title company. Contact Florida Home Title Company to find out more about a thorough title search.