You need to know, for certain, that the seller has full ownership of the property. You also need to know what rights and limitations exist with respect to the property and to whom were any rights given and under what terms do they exist. For example, the seller or another prior owner may have sold or given to others an easement or right to use all or part of the property. There may be covenants or restrictions which might limit your use of the property and fees which you may be obligated to pay to a homeowner’s association or others. Frequently, the seller has used their property as collateral for a loan and placed a lien upon the title. These are the type of matters which a title company would uncover during their title and lien search and examination. The importance of having a competent and careful title company charged with responsibility for these matters cannot be understated. The title company is also typically responsible for preparing and recording a deed or evidence of ownership change among the public records in the county where the property is located and for seeing to it that all current taxes and all liens on the title to the property are paid in full and released at or prior to closing.
Quote:
On 2005-03-01 16:31, frank_pat wrote:
what kind of due diligence is good due diligence?
The importance of having a competent and careful title company charged with responsibility for these matters cannot be understated.
so are you saying that after looking over the prop and gathering whatever specs you can on it, then you should go ahead and hire a competent title company who knows the rules of creative REI to search the specs on it and clear the air regarding the prop?
also, can a RE attorney do the same thing that a title company can?
i see what your saying about putting the burden on the seller, but i wanted to know is it possible to get that area covered on my own as well? i just want to know what i need to cover ahead of time and what the process is.
You need to know, for certain, that the seller has full ownership of the property. You also need to know what rights and limitations exist with respect to the property and to whom were any rights given and under what terms do they exist. For example, the seller or another prior owner may have sold or given to others an easement or right to use all or part of the property. There may be covenants or restrictions which might limit your use of the property and fees which you may be obligated to pay to a homeowner’s association or others. Frequently, the seller has used their property as collateral for a loan and placed a lien upon the title. These are the type of matters which a title company would uncover during their title and lien search and examination. The importance of having a competent and careful title company charged with responsibility for these matters cannot be understated. The title company is also typically responsible for preparing and recording a deed or evidence of ownership change among the public records in the county where the property is located and for seeing to it that all current taxes and all liens on the title to the property are paid in full and released at or prior to closing.
Quote:
On 2005-03-01 16:31, frank_pat wrote:
what kind of due diligence is good due diligence?
The importance of having a competent and careful title company charged with responsibility for these matters cannot be understated.
so are you saying that after looking over the prop and gathering whatever specs you can on it, then you should go ahead and hire a competent title company who knows the rules of creative REI to search the specs on it and clear the air regarding the prop?
also, can a RE attorney do the same thing that a title company can?
thanks for your info...
i see what your saying about putting the burden on the seller, but i wanted to know is it possible to get that area covered on my own as well? i just want to know what i need to cover ahead of time and what the process is.
Thanks Nancy