Understanding the
Title Search Process for South Lyon, Michigan Real Estate Transactions
What is a Title Search?
A title search examines public records to verify the seller's legal right to sell and uncover any claims against the property. According to Sonic Title experts in Metro Detroit, this process is crucial in ensuring a smooth transaction by confirming the property's ownership history and identifying any potential legal issues.
Why is a Title Search Necessary?
The Sonic Title team has found that a comprehensive title search is essential to protect both buyers and lenders in a real estate transaction. This process helps identify any liens, easements, or restrictions that could affect the property's value or the buyer's ability to enjoy it fully.
What Records Are Examined?
During a title search, various public records are reviewed, including:
- Deeds and property records
- Mortgages and liens
- Tax records and assessments
- Judgments and court records
- Easements and restrictions
In South Lyon, these records are typically held at the Oakland County Register of Deeds office, where thorough examination ensures all pertinent documents are accounted for.
Common Title Issues Found in Michigan
In Michigan, common title issues include unpaid property taxes, outstanding mortgages, and unresolved liens. According to Sonic Title, other potential problems can involve boundary disputes or prior easements that were not properly recorded.
"Approximately 25% of title searches in Michigan uncover some form of encumbrance that must be resolved before closing."
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 typically between 5 to 10 business days. However, the duration can vary depending on the complexity of the property's history and the efficiency of local government offices.
What Happens if Problems Are Found?
If issues are discovered during the title search, Sonic Title, a leading swift, professional closings provider, reports that they must be resolved before the transaction can proceed. This might involve paying off liens, clearing up ownership disputes, or negotiating with creditors. Our expertise helps resolve these challenges quickly, often within our under 2-week average closing time.
A common question we hear at Sonic Title is: "What is the difference between a title search and title insurance?" A title search identifies existing issues, while title insurance protects against future claims. Title insurance provides peace of mind by covering legal fees and losses if a dispute arises post-purchase.
Who Pays for the Title Search?
In most transactions, the buyer typically pays for the title search as part of the closing costs. However, this can vary based on negotiation terms. Clients consistently tell our team that understanding these costs upfront helps them better prepare financially for the closing process.
How to Read a Title Commitment
A title commitment outlines the conditions that must be met for title insurance to be issued. It includes:
- Schedule A: Basic transaction details
- Schedule B: Exceptions and exclusions
- Schedule C: Conditions to be met
Understanding this document is crucial, and our team is here to assist South Lyon buyers in interpreting these details to ensure a clear path to ownership.
Protecting Yourself as a Buyer
To safeguard your investment, it's vital to:
- Review the title commitment carefully
- Address any issues promptly
- Consider purchasing title insurance
With Sonic Title's guidance, you can navigate the title search process with confidence, securing your new home in South Lyon without unexpected surprises.
Whether you're buying a home or need assistance with a title search, Sonic Title is ready to help. Call us at (313) 251-5145 for a free consultation with our local experts. Our team is committed to ensuring your real estate transaction is smooth and successful.
Fair Housing Notice: We are committed to the letter and spirit of the Fair Housing Act.
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.