Real Estate Term of the Day: Examination of Title
EXAMINATION OF TITLE – research of the title to a piece of real estate (Barron’s Dictionary of Real Estate Terms)
The researcher will identify through public records who is the owner of the property and if there are any recorded ENCUMBRANCES affecting the property.
There are many different instances that a title examination would be done, here are a few:
- When your REALTOR® is preparing to meet with you to discuss selling your home
- Once your home is under contract and the title company has received the order to begin the closing process
- By the buyer’s lender to ensure the information on the purchase contact matches the current owner of record
- If you refinance your home, your lender will check for other encumbrances that need to be addressed before the refinance be processed