Getting a title report for your house is a great step to take before you list the home on the real estate market, and you can obtain this type of report for around $100. A title report reveals key details about the title of a house, and these details are highly valuable to have before you sell. Here are several important things to know about what a title report will tell you and why you need one.
What a title report reveals
Every house and property in this country has a title, and a title report is a document that reveals information about a certain property. Title reports can have several important details on them, including the property description and parcel number, and they will also state the owner of the house. In addition to all of this, a title report will list all lienholders of the property. A lienholder is a person that has rights to the house, and your mortgage company should be listed as a lienholder. If other businesses or people placed liens on your property, those will also be listed.
Why you should get one before you sell
When a person sells a house, the buyer's mortgage company will perform title work to make sure the seller actually owns the house and that all liens are satisfied when the house closes. If you find a buyer and you set up a closing date for the sale, any liens that are currently on the house will be paid out of the proceeds. If you do not know there are liens on your house, this might come as a big surprise when you attend the closing, and this is one important reason to get a title report before you sell.
It's also important to do this if you need to dispute any of the liens that are listed. For example, if you have a receipt that shows you paid a lien but it is still listed as a lien, you will need to go through the process of having the lien removed before closing. If you do not, there is a good chance you will have to pay this lien again.
You are not required to get a title report when you list your home, but it can save you from headaches when you find a buyer. If you need more information about this or other important tips to follow when selling a house, call an agent today.