Buffalo NY Real Estate Questions

What is title insurance?

Title insurance is a form of insurance that indemnifies a homeowner against loss suffered by reason of title being vested otherwise than as state, or because of defects in title, such as liens and encumbrances not set forth in the title policy, as well as undisclosed or unknown title defects existing at the time of settlement.

Suppose you purchase your dream house, and when you arrive with your moving van prepared to enjoy your new purchase, you find someone else in the house claiming to own it. What will you do? Or, suppose you are awakened early one morning by a construction crew preparing to bulldoze your entire font yard for a sewer line to be built on an easement claim to pass through your yard. What happens now? What If your enjoyment of the property is suddenly interrupted by receipt of a notice of past due property taxes, which must be paid immediately or the property will be sold for property taxes.

Title insurance is designed to prevent these problems from occurring and give you a source of protection if they do.

What services does an attorney provide in a real estate transaction?

The role of a seller’s attorney is to initially review and approve of the Contract of Sale, including terms and provisions set forth therein, upon consultation with the seller. The seller’s attorney facilitates the updating of a title search and survey, procurement of tax receipts and water bills, septic and/or well approvals, certificates of occupancy, satisfaction of mortgage, architectural certificate of compliance, boundary line agreements, or easements, as might be required during the course of a transaction.

The purchaser’s attorney also examines and reviews the Contract of Sale on behalf of the purchaser, and represents the purchaser in respect to acquiring good and marketable title to the property from the seller, and in facilitating the settlement process with the purchaser’s lender.

Do I get my deposit back if I cannot qualify for a mortgage?

Typically the purchaser is entitled to have the initial deposit returned, in the event that the purchaser does not qualify for a mortgage, providing the purchaser has in good faith and in accordance with the terms of the Contract of Sale made prudent application.

Leave a Reply