The home buying process is incredibly complex and exciting. While you may be eager to rush through the early stages of inspection and feel the keys to your new home in hand, it’s essential to understand each phase of the process and what you are paying for. Upon looking over your loan estimate provided by your mortgage company, you might’ve noticed an additional fee for title costs. These fees are a representation of the work that your title company has performed their due diligence before settlement to try to make sure your title is completely clear before it’s handed over. Your title company will be performing a lot of behind-the-scenes responsibilities that will ultimately lead to the successful settlement of your new home purchase. Here’s what to expect.
How Does a Title Contribute to Settlement?
When investing in a home, auction property, or land property, the title must be completely clear. Since the title provides homebuyers with the legal ownership rights of the property in question, it means that a homebuyer is fully responsible for any outstanding debts that may arise following settlement. Your title company will perform due diligence on their end to search for any information on public record that may indicate your home has a clear or impacted title. To successfully settle your new home investment, the property must have a clear title without any outstanding debts or legal issues that may hinder this process. Your title company will scour public records, take corrective action on any public title issues that may arise, and attempt to fully ensure that your new home investment has a clear title. To further protect your home investment, homebuyers should consider opting for owner’s title insurance in the event that any unforeseen instances that aren’t on public record may arise.
How Can a Title Company Help?
Think of a title company as professional, behind-the-scenes individuals responsible for reviewing title claims and preparing for the settlement process. A title company will manage an escrow account that contains your earnest deposit, perform a title search with a thorough examination, clear any title issues that may arise during the settlement process, issue title insurance to homebuyers, handle the mortgage records while disbursing funds, and ultimately ensure the successful closure of your new home investment. Contact Colony Title today as your trustworthy title company located in Columbia, MD!
A Title Company You Can Trust: Colony Title
At Colony Title, we will help you through the process of getting your property’s title and help you avoid the pitfalls of hidden costs while you buy your home. We are also well trained in identifying any and all errors in public records and helping you resolve them. We specialize in real estate title insurance in both Maryland and Washington, D.C., and we will perform an expert title search, check through all past documentation, and examine records for any fraud or forgery. For more information on how we can get you into the home of your dreams, contact us online or give us a call at (410) 884-1160. To get more updates on housing markets and how to get into your home, follow us on Facebook, Twitter, and LinkedIn.