Video Transcript:
What are the basic elements of a title search? This is Dave at AFX Title. A title search is a process of researching various record sources to find potential items that could cloud a title or that could be encumbrances on a title. They could be things like liens or mortgages, judgments. Even ownership transfers would be in the research project. The basic elements of a title search fall into one of four categories. First is the ownership of that property. Who actually owns the property? Who has rights to transfer it, sell it? Maybe even partial ownership. Somebody might have mineral rights or surface rights or even things like easements. That's the ownership section. The next section is mortgages. Are there any voluntary liens on that property? Did somebody borrow money and voluntarily give collateral to that property to a lender? The third section is liens. That's where if there's any involuntary claims against a property, a judgment, a lien, some type of claim against a financially. Those will show up in a lien section. And the fourth section, which is also very important, are other types of claims. Things like taxes, which are due but not late. For example, if it's November of a certain year, the taxes for that entire year are almost due, except for they're not due until January first. So even though it's not a lien or any delinquency, the property still has the obligation to pay those taxes. They also could be things like UCC filings against business fixtures. They may be even rights of way on that property. Even zoning could be a restriction on the property that an interested party may want to know about. So the fourth section is all-encompassing of other claims on a property which could affect future ownership and that are important to know about for a prospective lender or buyer. If you have questions about doing research on real estate or title searches in general, you can reach us at our website at title search dot com.