Title Endorsements: The Concept and the Types Explained

As you go about buying real estate, you're likely to encounter some less-familiar terms. One of these terms is "title endorsement." Your real estate agent may mention title endorsement, or you might see it listed on an estimate from your title company. In either case, it's a good idea to understand this term so you have a better idea of what you're paying for and why you need it.

So, without further ado, here's an explanation of the title service known as title endorsement, along with a look at the different types of title endorsements.

What Is Title Endorsement?

Perhaps you're familiar with title insurance. It is a type of insurance that protects the buyer or the lender from any liens or claims against the title that may be revealed after real estate is purchased. Title endorsement basically takes things one step further from title insurance. It protects you against specific types of issues with your property's title.

Title endorsement is not necessary for every real estate transaction. However, it can be a very smart buy in certain situations. If you or your attorney have any reason to suspect there may be a specific issue with a title, you can purchase a title endorsement against that issue. 

What Are The Different Types of Title Endorsement?

There are many, many different types of title endorsements. Those most commonly used types are explained below.

Survey Coverage

Survey coverage protects your interests should there be a discrepancy between the land identified on the title and the land that's listed on an insurance policy. This is helpful coverage when buying large tracts of land with poorly defined boundaries.

Minerals and Substances

Does someone have an easement to access minerals, oil, or other substances located beneath your land? A title endorsement can protect you should these parties cause damage to your land when adhering to the terms of the easement.

Zoning

A zoning endorsement can protect you if the local jurisdiction changes the zoning in a way that keeps you from using your property in the way you intended. This is a common title endorsement for business owners.

Access

If your property does not directly border a public street, such as if the driveway to access your home is on a neighbor's land, you will want an access endorsement. It protects you from losing that pathway to access your land.

Easements

Perhaps a neighbor has an easement allowing them to use your driveway to access your land. Or, perhaps the power company has an easement to access lines on your land. An easement endorsement, drawn up by a title company Pennsylvania residents trust, can protect you in this case.

Could you benefit from having a title endorsement drawn up as a part of your real estate purchase? Reach out to your Philadelphia title company for their expert advice. Heritage Land Transfer would be happy to help. We're a full-service title company and escrow agency, and we always put customers first.

Our team of expert professionals provides a seamless title transfer experience, guaranteed lowest rates, and the fastest closings. We believe in making the real estate transaction a happy experience for our clients and partners alike, and to that end, we do what it takes, including traveling to their preferred locations.

This blog was originally posted on https://landtransfer.com/title-endorsements-the-concept-and-the-types-explained/

4 Things You Need to Know About Commercial Title Insurance

Buying commercial property always comes with some risks. One of those risks can be related to the property title. Commercial title histories can be long and complex, and it's not terribly rare for previous liens or claims to a title to show up. The good news is that commercial title insurance from a title company can protect you and your lender from these risks. Here are a few key things you should know about commercial title insurance.

1. There Are Two Key Types of Title Insurance

When you're purchasing a commercial property, there are two separate entities that should take out title insurance policies. The first is your lender. In fact, most lenders are required to have title insurance in order to hold the loan on a commercial space. This title insurance ensures that if there is an issue with the title, the lender is protected from financial risk.

The second party that should buy insurance from a title service is the buyer. In commercial transactions, this is generally the LLC, sole proprietorship, or corporation that is buying the property. This policy is separate from the one held by the lender, and it protects the business financially should any title problems come to light.

2. Title Searches Don't Negate the Need for Insurance

Before you buy a piece of commercial real estate, you should have a title company conduct a title search. This search should turn up any liens or claims to the title prior to purchase. However, the title search process can occasionally miss liens. As such, a title search is not a replacement for title insurance. Even the best title company Pennsylvania has to offer may not be able to uncover everything in the search process, and insurance protects you from this possibility.

3. Commercial Title Insurance Is Paid For Once

Commercial title insurance is not something you or your business need to pay for month after month. Rather, you pay for this insurance via a one-time fee due at closing. The escrow agency will typically hold the funds while you're in the process of purchasing the real estate. Then, when you sign the closing documents, the title insurance company will be paid for the policy or policies. 

4. Title Insurance Offers Continued Protection

Policies to protect both you and the lender last for as long as you own the property. Or, in the case of the lender, they last as long as there's a loan out on the property. So, if an issue with the title comes up in 5 years, you're protected. If an issue arises in 15 years, you are still protected. It's nice to get such long-lasting risk reduction for a one-time payment at closing. 

Commercial property can be a sizable investment, so it is worth protecting your investment. Your lender will likely require title insurance, and you should strongly consider taking out a policy to protect your business, too.

Contact Heritage Land Transfer to learn more about our title services. Our stellar customer service, unmatched resources, and guaranteed lowest rates are brought to you by an award winning team of professionals, dedicated to helping our clients and partners have the most seamless transactions.

This blog was originally posted on https://landtransfer.com/4-things-you-need-to-know-about-commercial-title-insurance/

Why Choose Heritage Land Transfer Company, Inc as your Title Company

Title search and title transfer are two very important parts of a real estate transaction. It's important to choose a title company Pennsylvania residents can trust in order to handle these processes. At Heritage Land Transfer, we are proud to be a step above the competition. We are confident we can handle your transaction with ease, but don't just take our word for it. Here are a few key reasons to choose us as your title company. 

1. 20-Minute Closings

Closing on a real estate deal is not anyone's idea of a good time. As such, you probably don't want to be sitting around the closing table and signing paperwork for any longer than is necessary. At Heritage Land Transfer, we can deliver 20-minute closings when time is of the essence. This allows you to finish and get on with your day, whether that means heading back to work or going home to see your family.

2. In-Home and Virtual Closings

Do you have kids you don't want to leave with a sitter? Perhaps your car is in the shop. If you can't make it to our offices, we can come to you. We offer in-home closings to make things simpler for our customers, whatever their needs may be. 

Maybe you got called away on travel, or perhaps you're selling a home remotely. In cases like these, we can provide title services and closings virtually and securely, using our cutting-edge software.

3. In-House Attorneys

Many title companies rely on outside attorneys. This slows down the title search process and can lead to longer closing times. At Heritage Land Transfer, we employ our own attorneys in-house. This allows us to provide our customers with more comprehensive services, and it also allows us to work faster than our competition.  

4. Client-Focused Approach

Every client is unique. As we work with you to facilitate your real estate transaction, we get to know you personally so that we are better able to understand and fulfill your unique needs.

We have in-house interpreters to help us communicate clearly when a language barrier comes into play, and we contract with additional, outside translators as needed, too. We'll keep you informed every step of the way as we conduct your title search, prepare your settlement, and ready your account for closing.

5. Community Involvement

At Heritage Land Transfer, we are proud to be a part of the communities we serve. Our employees can spend up to 20 paid hours each year volunteering in the community. We also offer scholarship programs to help support our youth.

If you're looking for a title company Philadelphia is proud to call its own, then Heritage Land Transfer is the choice. We offer a wide range of services, from title transfer to contingency resolution, and we are also an escrow agency.

Contact us to learn more about us and our dedication to putting clients first.

This blog was originally posted on https://landtransfer.com/why-choose-heritage-land-transfer-company-inc-as-your-title-company/

Property Title Search: What It Is And How It Works

Before you purchase real estate, you will need to hire a title company to conduct what's known as a title search. As an informed and involved property owner, it is important to understand what a title search involves and why is it so important.

What Is a Title Search?

When you purchase real estate, you acquire a document called the title, which proves your ownership of that property. You hold that title until you sell the property, when the title is transferred to the new owner.

A title search is the process used to verify that the person selling the property does, indeed, have the legal right to the title of that property. As a part of the search, your title company will discover all of the previous holders of the title. They'll also find out whether there are any liens against the property. For instance, if a previous owner failed to pay their property taxes, the local government may have a lien against the title.

If the title search does reveal any liens, restrictions on the use of the land, or previously unknown claims to the title, then these can be dealt with before you purchase the property, thus ensuring that you have a clean right to the title.

How Is a Title Search Conducted?

Conducting a title search involves a lot of phone calls and reviewing of records. As a part of the process, your title services provider reviews tax assessments, court records, insurance policies, wills, and other relevant documents. 

Once the search is complete, your title company will either inform you that the title is clean, or they'll let you know that there's a defect in the title. If there is a defect, such as a lien, unpaid taxes, or easements, then your agent will walk you through the process of addressing the defect, should you so choose. You may also decide to walk away from the sale based on the results of the title search.

How Long Does a Title Search Take?

This depends on the property you're purchasing. A title search for a newer property could take just a few hours. For an older home that has had many owners, the search process could take several weeks.

What If The Title Company Misses Something?

Title companies do their best to be thorough, but on occasion, a defect might go overlooked. In such cases, a title insurance policy will protect you. If you have title insurance and a defect is discovered in your title after purchase, then your insurance policy will pay for any related damages. Purchasing title insurance is highly recommended for this reason, and is mandatory in Pennsylvania for properties purchased or refinanced with mortgage loans. 

The title search is a very important part of any real estate purchase. If you're looking for a title company Philadelphia residents depend on, contact Heritage Land Transfer. We have been providing title and escrow services in PA, NJ, and beyond for more than 30 years!

This blog was originally posted on https://landtransfer.com/property-title-search-what-it-is-and-how-it-works/

What Title Insurance and Is It Necessary?

When you purchase real estate, you receive an official document called a title, which is meant to show or prove your ownership of that property. As a part of the purchasing process, your attorney and title company will review the title to see whether there are any past claims or liens against it.

On a rare occasion, an attorney might overlook something, or information relevant to the title may be concealed. What happens then? Well, if you purchased title insurance, you'll be protected, and your property ownership will be maintained. Keep reading to learn more about title insurance and why it's so important.

What Is Title Insurance?

Title insurance is a type of insurance designed to protect the policyholder should any problems with the title come to light. What could go wrong with a property title? The most common example is a previously unreported lien.

Say, for instance, your title services company conducts a title search prior to your purchase of the property. They fail to discover that Company X has a lien for $100,000 against the property. You find this out 5 years later when Company X shows up and attempts to collect their money. Without title insurance, as the current title holder, you'd be liable to pay that $100,000. If you have title insurance, it becomes your insurer's responsibility to pay. 

In addition to protecting you against unreported liens, title insurance protects you from unintentional errors in the filing of documents, forged ownership rights, and other title defects that originated prior to your purchase of the policy.

Who Needs Title Insurance?

Lenders always purchase title insurance as a part of the mortgage process. The bank needs to know that if a defect is discovered in the title, they are not liable for the damages. The cost of this title insurance is generally held in an escrow account by an escrow agency and passed on to the buyer during closing.

Homeowners are not required by law to buy title insurance, but it is a good idea. While there are only a few claims made on title insurance policies each year, learning that there's a lien on your home can be financially devastating. Title insurance, by comparison, is very affordable. Plus, once you purchase a policy, it never expires. You are forever protected against any issues that may arise with your title.

It's wise to buy title insurance when purchasing any property. However, it is especially important if you're buying a home in foreclosure, as a short-sale, or at auction. Homes being sold in these ways are more likely to have a complicated history of ownership and title defects.

Title insurance is mandatory in PA and NJ for property purchases involving loans. While title insurance is not required for homeowners paying cash, it is still highly recommended. If you're looking forr a title company Philadelphia, trust Heritage Land Transfer to save you many headaches in the future. Contact us today to learn more about our services. We're a title company Pennsylvania and New Jerssey residents have depended on for over 30 years for title transfer, lender coordination, title distribution, contingency resolution, and more.

This blog was originally posted on https://landtransfer.com/what-title-insurance-and-is-it-necessary/