Stuff a Buyer Should Sign Off on a Title ReportI just had an email conversation with one of my TC's that work with me regarding title report items and thought I'd share it with you.
If you've read my blogs or taken my class, then you know I always encourage EVERYONE on the team to read the title report.
What we look for are unusual liens, easements, road maintenance agreements and future development. Once these are identified, we ask the escrow/title officer to pull up the fully recorded document for the buyer to review and sign off on.
This is important! It's not good enough that they sign only the title report during their sign-ups. We want to make is abundantly clear what the buyer can anticipate once escrow is closed. This should occur PRIOR TO THE REMOVAL OF THE INSPECTION CONTINGENCY!
Our situation today was a pending litigation lien that was on the title report.We asked the escrow officer for more information on it and fortunately the lien had been dismissed. The question was do we need the buyer to sign off on items like this?
My answer is no because liens technically should be removed from title the moment we record and transfer of ownership occurs. We want the buyer to only sign off on title report items that will remain in effect AFTER close. The exception to this rule would be a bond or other tax related lien.
Hope this helps!