Preliminary Report: “Preliminary report”, “commitment”, or “binder” are reports furnished in connection with an application for
title insurance and are offers to issue a title policy subject to the stated exceptions set forth in the reports and such other matters as may be incorporated by reference therein.
Policy: Title insurance is insurance against loss resulting from defects of title to a specifically described parcel of real property.
Defects may run to the fee (chain of title) or to encumbrances on the property.
Drafts a Deed of Trust
A deed of trust is drafted by the lender or by the escrow officer as directed by the parties. Deed of Trust: Is an instrument that is recorded to secure a loan against your property.
Pays Off Existing Loans
The title company pays off existing loans when so ordered.
Taxes and Insurance
The title company prorates the taxes and insurance upon instructions from the buyer and the seller.
Computes Interest on Loans
Acquires Hazard Insurance Signing of Documents Assists the buyer and seller when signing documents.
Recording Documents
The title company records the appropriate documents with the county office, giving public notice.
Disbursement
The title company disburses the documents and monies to each party involved.
