What You Should Know About Title Searches
Regardless of how many times that you’ve bought or sold property, you know that real estate transactions aren’t as simple as making a deal over a cup of coffee and a handshake. Each time a property is bought or sold, a lot of detail and hard work must take place, to avoid the risk of lengthy and expensive legal battles in the future. That’s why every sale should include a detailed title search to make sure that there aren’t title defects, often referred to as “title clouds.”
Unpaid property taxes or other liens
If a seller is delinquent on property taxes, the transaction can’t proceed. But it doesn’t stop there! Unpaid homeowner’s association dues and legal judgments will also frequently involve liens against the property that must be resolved prior to the sale.
Clerical Errors
Experienced people doing routine work still make mistakes.You’d be surprised at how much trouble that an innocent typo can cause if it’s not caught ahead of time.
Fraud and forgery
Very few forgeries involve criminal masterminds producing bogus documents. Most of the time, it’s someone signing someone else’s name to paperwork without their knowledge. Whether they’re doing something intentionally deceptive, or just incorrectly assuming that they have approval, these matters can create lengthy delays in closing.
Unknown heirs
Every year, thousands of people die without leaving a will. If they have property worth inheriting, estranged relatives can suddenly come out of the woodwork. These disputes can involve a lot of time and money to resolve.
Most real estate transactions operate in good faith, ending with the buyer and seller completely satisfied. But with title insurance, you’ll be protected should the unexpected happen, and that protection will last as long as you own your home.. Contact us online if you have any questions, or visit any of our 12 convenient Arkansas locations!
First National Title Company has been verified by a 3rd Party, Erwin & Co., to be in compliance with ALTA Best Practices. Click the ALTA logo to see the Erwin & Co. report.
