Definition Of Title
“The evidence that one has the right to possession of land”
Preliminary Title Report:
A report showing the condition of the title before a sale or loan transaction. After completion of such a transaction a new title policy can be issued.
Insurance against loss resulting from defects of title to a specifically described parcel of real property. Defects may run to the fee (chain of title) or to encumbrances.
Title Insurance Company:
A company that issues insurance against loss resulting from defects of a title to real property.
Before listing your property SMH will request a preliminary title report for your property from a Title Insurance Company. This report will show any encumbrances to the title such as loans, liens or unpaid judgments. A legal description of your property will also need to be attached to your Purchase And Sale Agreement. This is important legal information and it is best to have on hand before the selling process begins.
The Title Insurance Company will make sure that you have the right to sell your property free and clear and also shows the buyer that they are purchasing a property that is unencumbered.