Title Process

Here's a brief outline of the basic steps in the title insurance process:

Initial Title Order:

      A client places an order for title insurance with Sapphire Title. We then issue an initial report with the minimum of information, even without identifying the buyer or the terms of the sale. This report shows the record title as it presently exists and is only an offer to provide insurance.

Title Examination and Survey:

      The title search determines that the person selling the property has the right to sell it and that you are getting all the rights to the property that you are buying. The title search involves researching the ownership of the title, status of taxes against property, and any outstanding judgments on the title.

      If the seller didn't provide a copy of a previous survey, we will typically order a new one. The survey is a drawing of the measurement of the boundaries of land, the placement of the house on the land, if any, along with physical attributes such as fences, driveways and sidewalks, along with building lines or setbacks and easements.

Title Reading:

      Our title officer will begin by making a technical analysis of all the documents of record. We make an interpretive analysis of all recorded matters to evaluate their impact on the title to the property.

Title Report:

      We then issue a title report, indicating our intention to insure the title on a given property and specifying the amount of insurance, covered parties, policy terms, limitations and conditions. The buyer and seller and the mortgage company can proceed with the closing of the transaction after clearing up any defects in the title which may have been uncovered by the search and examination.

Clearance Department:

      Should the title search uncover any defects in the title which prevent the closing, our Clearance Department will work to correct them. For example, if there is an unpaid judgment on the property, we contact the parties involved in an effort to get the judgment paid and clear the title.

Closing:

      Unlike other insurance policies, there is a one-time only premium payment for title insurance. Generally, the premium is paid by the buyer / borrower at the closing table.

Escrow Payments:

      After the closing, Sapphire Title now disburses funds to the appropriate parties for taxes, insurance, and other costs.

Recording:

      Post-closing, we also record the legal documents with the appropriate municipalities, and acquire releases from lien holders after they are paid.

Title Policy:

      Now, we issue the actual title policy. The buyer's policy is generally sent to the attorney for delivery. The lender's policy is typically sent directly to the lender. We also send all involved parties copies of their recorded documents for their records.