When you find your dream home and resolve to purchase it, you need to get everything right from the word go. After all, you are looking for a sanctuary for your family. But before signing the sale agreement, it is in your best interest that you exercise certain due diligence. One of these involves ensuring that the home you are interested in has a clean title. This is where a title search comes in.
A property title search is basically the process of accessing the history of the property in question with the goal of establishing its ownership history as well as any liabilities on it. Specifically, here are some of the areas you need to pay attention to while conducting a title search.
Any issues with the property’s boundary
From territorial, positional and functional disputes, conflicts over boundaries are not uncommon between neighbors. Left unaddressed, these disputes can easily escalate into costly legal conflicts down the road. A title search can help you uncover potential boundary disputes before closing on the property.
Any debts or liens on the property
If you buy a property that was used as collateral when taking out credit or one that has liens, these liabilities may legally pass down to you. For instance, if the seller defaulted on certain debts in the past, a lien may be placed on the property. A title search can reveal any liabilities on the property so you can make an informed decision regarding its purchase.
Real estate transactions can be long and complicated. The last thing you want are missteps that can ruin your homeownership dream. Learning more about the title search process can help you avoid unpleasant surprises when investing in real estate.