Importance of Settlement Services in Allentown and Nazareth, PA

Posted by TraditionalAbstractPA on May 12th, 2023

Living the American Dream is not easy. Millions splurge to own a home despite financial hardships. After securing the desired loan and signing the documents, one can move into the house. Wait! An important aspect is missed in this regard. It is essential to conduct a thorough title deed search in Bethlehem and Easton, PA, to ensure that the said property had indeed been free to invest in.

The document stating the ownership of a property is known as the title. It is necessary to search for the record to ensure that the title is free from all defects. The new owner may be inconvenienced when a stranger claims the property afterward. The common practice is hiring a title company or attorney or doing the search singlehandedly by reviewing all previous records related to the concerned property.

Often enough, it is the lender who insists on a clear title to avoid financial loss after the ownership changes hands. The buyer must make sure to do it with or without the lender insisting on it. It certainly helps to be informed about the need and procedure.

What is a title?

When an individual(s) gets the title, it means that a specific document exists endorsing the ownership of the property. The title provides the legal rights to the owner to use the property as deemed fit. The title may be given to a group or tenants and tenants in common apart from a single individual. They are known as joint title holders.

Moreover, the mortgage owner may be a party to the title and claim rights on the property when the mortgage amount is not paid according to the terms. The government may also have liens on the said property for nonpayment of taxes. Such issues usually come to light when a title search is conducted.

Information Obtained Via Title Search

The results of a title search will make the prospective buyer aware of the legal restrictions on the title and the rights of other parties to use the property in certain situations. Pending taxes and mortgage payments are also revealed by such a search which may have the new investor reconsider the purchase. It is interesting to learn that any of the following may become apparent once the existing title deed is recovered from the records:-

· Boundary disputes

· Existing liens

· Disputed wills

· Additional claimants/heirs

· Mechanic's liens

· Utility easements

· Errors during the filing of documents

· Divorce decree settlements that result in disputes

· Bankruptcy

· False documentation or forgery of property documents

A title search can be of varied types. A current owner search is usually conducted when buying a foreclosed property or investing in it via tax sale. A full title search becomes essential when the funding is provided by a bank of NBFC.

A combination of all title-related services conducted by a reputed title company is known as settlement services in Allentown and Nazareth, PA, and all across the nation. It includes title search, escrow, and closing services. 

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TraditionalAbstractPA
Joined: November 26th, 2020
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