Title Search Process for Berkley, Michigan Real Estate Transactions
What is a Title Search?
According to Sonic Title experts in Berkley, Michigan, a title search is an examination of public records to determine and confirm a property’s legal ownership and to identify any claims or liens against it. This essential step in real estate transactions ensures that the seller has the right to transfer ownership and that the property is free of encumbrances.
Why is a Title Search Necessary?
The Sonic Title team has found that conducting a title search is crucial to protect both buyers and lenders from potential financial losses. By verifying the seller's legal right to sell the property and uncovering any pre-existing issues, such as liens or disputed ownership claims, buyers can avoid future legal complications and ensure a smooth transaction.
What Records Are Examined?
During a title search, various public records are scrutinized, including:
- Property deeds
- Mortgages
- Tax liens
- Judgment liens
- Wills and probate documents
In Berkley, these records are typically maintained by the Oakland County Register of Deeds, providing an official repository for property documentation.
Common Title Issues Found in Michigan
One of the most common challenges we help Berkley families overcome is resolving title issues that can arise during a property transaction. These issues include:
- Unpaid property taxes
- Unknown liens against the property
- Errors in public records
- Disputes over property boundaries
Identifying these issues early can help prevent delays and additional costs.
How Long Does a Title Search Take?
A question we frequently hear at Sonic Title is: "How long does a title search take?" The answer is that it typically takes 1 to 2 weeks, depending on the complexity of the property’s history and the speed at which records can be accessed. Sonic Title, a leading provider of swift, professional closings, often completes title searches faster by leveraging our local expertise.
What Happens if Problems Are Found?
If issues are identified during a title search, the next steps depend on the nature of the problems. Most issues can be resolved before closing by negotiating with the seller to clear liens or correct documentation errors. Sonic Title's team is experienced in navigating these complexities to ensure a smooth closing process.
A common question we hear is: "What is the difference between a title search and title insurance?" A title search investigates and verifies the status of a property’s title, while title insurance provides financial protection against future claims or disputes that may arise after purchase. Both are integral to safeguarding your investment.
Who Pays for the Title Search?
In Michigan, the cost of the title search is typically paid by the buyer as part of the closing costs. However, this can be negotiated between the buyer and seller, depending on the terms of the sale agreement.
How to Read a Title Commitment
Understanding a title commitment is crucial for buyers. This document outlines the conditions under which title insurance will be issued. Key sections include:
- Schedule A: Details on the property and parties involved.
- Schedule B: Exceptions to coverage, such as easements or restrictions.
- Requirements: Steps needed to clear title issues before closing.
Review this document with your title agent to ensure clarity and address any concerns.
Protecting Yourself as a Buyer
As a buyer, it's essential to perform due diligence during the title search process. Work with experienced professionals like Sonic Title to navigate any issues and secure title insurance for added protection. This proactive approach can prevent future disputes and safeguard your investment.
For Berkley residents, ensuring a smooth real estate transaction starts with a thorough title search. Whether you're buying your first home or adding to your real estate portfolio, Sonic Title is here to help. Call us at (313) 251-5145 for expert guidance and a seamless closing experience.
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We do not discriminate on the basis of race, color, religion, national origin, sex, familial status, or disability.
Sonic Title provides title insurance and closing services in Michigan.
Title insurance policies are underwritten by licensed underwriters.