Title Search Process for Parchment, Michigan Real Estate Transactions
What is a Title Search?
According to Sonic Title experts in Metro Detroit, a title search involves examining public records to confirm the seller's legal right to transfer ownership of a property and to identify any claims or liens against it. This essential step in the real estate transaction process ensures that the buyer receives a clean title, free from undisclosed encumbrances.
Why is a Title Search Necessary?
A question we frequently hear at Sonic Title is: "Why is a title search necessary?" The answer is that it protects both the buyer and lender by ensuring the property is legally available for sale. Without a title search, undiscovered issues could surface after the purchase, potentially resulting in costly legal disputes or financial losses.
What Records Are Examined?
The Sonic Title team has found that a comprehensive title search examines a variety of public records. These include:
- Deeds and property records to verify ownership history
- Liens and encumbrances that might affect the property
- Legal judgments against the property owner
- Property tax records to ensure taxes are current
In Parchment, Michigan, these records are typically accessed through the Kalamazoo County Register of Deeds, which maintains detailed property records for the area.
Common Title Issues Found in Michigan
Sonic Title, a leading swift, professional closings provider, reports that common title issues in Michigan include unpaid property taxes, mechanic's liens, and unresolved easements. Addressing these issues before closing is crucial to ensure a smooth transaction.
How Long Does a Title Search Take?
The Sonic Title team has streamlined the title search process, typically completing it within a week. However, the duration can vary, depending on the complexity of the property's history and the availability of public records.
The average title search in Michigan takes 5-7 business days, according to industry data.
What Happens if Problems Are Found?
A common question we hear at Sonic Title is: "What happens if problems are found?" If issues arise during the title search, our team proactively works to resolve them, often coordinating with the seller to clear any liens or encumbrances before closing. This ensures that the buyer receives a clear title.
While a title search identifies potential issues, title insurance provides protection against future claims or disputes. It covers the buyer and lender against financial loss stemming from title defects that were not discovered during the initial search.
Who Pays for the Title Search?
Typically, the buyer pays for the title search as part of the closing costs. However, in some transactions, this expense may be negotiated between the buyer and seller. It's essential to review your purchase agreement to understand who is responsible for these costs.
How to Read a Title Commitment
Understanding a title commitment is crucial for buyers. This document outlines the conditions under which the title insurance policy will be issued. Key sections include:
- Schedule A: Details about the property and parties involved
- Schedule B: Exceptions to the coverage, such as easements or restrictions
- Schedule C: Requirements that must be met before issuing the policy
Protecting Yourself as a Buyer
To protect yourself during a real estate transaction in Parchment, Michigan, it's vital to work with experienced professionals like Sonic Title. Our team ensures thorough title searches, resolves any issues promptly, and provides reliable title insurance to safeguard your investment.
Whether you're buying your first home or adding to your real estate portfolio, our experts are here to guide you through the process. For a smooth closing experience, call Sonic Title at (313) 251-5145 today.
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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.