Title
Insurance
There
are two types of title insurance: Lenders title insurance,
also called a Loan Policy, and Owner's title insurance.
Most lenders require a Loan Policy when they issue
you a loan. The Loan Policy is usually based on the
dollar amount of your loan. It protects the lender's
interests in the property should a problem with the
title arise. The policy amount decreases each year
and eventually disappears as the loan is paid off.
Owner's
title insurance is usually issued in the amount of
the real estate purchase. It is purchased for a one-time
fee at closing and lasts as long as you or your heirs
have an interest in the property. This may even be
after the insured has sold the property. Only Owner's
title insurance fully protects the buyer should a
problem arise with the title that was not uncovered
during the title search. Owner's title insurance also
pays for any legal fees involved in defending a claim
to your title.
Prices,
and the way title insurance is issued, vary from state
to state.
Settlement
Services
Once
the preliminary title work is complete and all information
on the contract, loan closing documents and title
commitment has been compared and complied with, the
settlement agent is ready to prepare the Settlement
Statement.
As
closing day approaches, the settlement agent orders
any updated information which might be required. Once
the settlement agent is satisfied that the paperwork
is in order, he or she confirms the date, time and
location of the closing with all the parties involved.
The
closing is where it all happens. Everything done behind-the-scenes
leads up to this day. It's time to close the transaction
and transfer ownership of the property from the seller
to the buyer.
Escrow
Agent Services
The
title company in many states can also act as the escrow
agent. As the escrow agent, the title company can
and will hold deposits for specific properties as
the transaction moves forward. The deposited funds
are then credited to the correct party at the time
of closing.
1031
Exchange Services:
By
using Section 1031, a person sells their existing
non-primary residential property, follows the prescribed
rules for handling the sale proceeds, and then reinvests
these proceeds in a new purchase of an equal or greater
value. This technique will not trigger any gain for
tax purposes. Any tax is postponed.
Business
Real Estate Consulting
Whether
your needs are related to a commercial or residential
property, Metropolitan Title and I can offer consultative
services. We can provide you with names of reputable
law firms, lenders, brokers and agents to help you
facilitate your transaction every step of the way.
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