What is a ‘Title Company’ and what is its role in buying property?
Buying property can be an exhausting process due to the sheer number of details you need to have in order to ensure a successful transaction, lock in the purchase of the house of your dreams, and develop a solid asset for you and your family.
With this in mind, if you should find yourself in this situation, remember that you have an invaluable ally that can help make sure everything proceeds as well as possible, monitoring the legality of every step in the process and facilitating various permits.
These allies are title companies, organizations in charge of verifying that every element involved in a real estate transaction is complied with. To achieve this end, they thoroughly examine property titles in the public register, through which they can identify the actual owners of specific real estate, as well as any hidden taxes or legal actions that would directly affect the property that you wish to acquire. The primary objective of a title company is to provide security, peace of mind, and transparency during the process of buying and selling property.
Once the company has confirmed the legality of a given title, it can then issue title insurance to the property owner and the lender. This a crucial step in the process, for it protects the parties involved from future legal problems and claims against the property.
As if this weren’t enough, a title company also has the ability to provide escrow services. In other words, they are in charge of holding money securely in a monitored account, safeguarding the substantial sums being used for closing a sale or refinance and legally passing on legal title to a property.
In this sense, title companies also perform as closing agents: serving as mediators during the closing, supporting the mortgage process and ensuring that all necessary documentation has been signed.
What are the advantages of working hand-in-hand with a title company in the process of buying a real estate title? Firstly, a title company brings security to that final moment when you close your sale or refinance, because its team will have been present from the beginning of the process, straight through to the last review, ensuring that everything is in order every step of the way.
Secondly, throughout the process, you can count on having an ally who is in charge of reviewing all documentation, reducing the risk of financial losses or encountering legal problems in the future. It is optimal that the title company is operated by an attorney, bringing a layer of legal know how to the transaction.
For these reasons, if you are thinking of buying property, don’t hesitate to contact us. At First Title Team, we’re here to support you by making this whole process far easier, which is why our capable and thorough professionals are in the business of bringing you security, confidence, and peace of mind.