Title Commitment - What is it?

A Title Commitment is a promise to insure.

This means that if anyone should argue the legal ownership of your property, the title or abstract company will defend the title on your behalf. The policy is subject to certain things that are listed on the Commitment.  

Schedule A – “A” is for “Actual Facts”. This is the who, what, where and how much of the transaction. This is where disclosure of the vested owner in the transaction will appear along with the legal description of the property. It will also show the proposed insured and the lender. If you see any discrepancies, please let us know so we can correct them.    

Schedule B – “B” is for “Buyer Notification” of items in which other parties have some interest or control or the use of the property. This contains exceptions to the coverage, and these are items that currently, and may always affect the property. Some examples are 1) Deed Restrictions, 2) Easements and 3) Building Lines. Copies of these exceptions are available for review.    

Schedule C – “C” is for “Clear in order to CLOSE”. These items usually must be resolved to transfer title to a new owner. Some examples are: 1) Existing Liens, 2) Bankruptcies, 3) Abstract of Judgments, 4) Probate Issues, and 5) Vesting Problems. We are always working to fix any issues, but if you have pertinent information that will assist us please let us know. The sooner we have the information, the faster we can correct any issues.    

Schedule D – “D” is for “Disclosure”. This is required regulatory disclosure of the ownership of the title insurance company, the costs of the policies being issued, and certain consumer protection notices.