Title Report Clauses

Title reports contain crucial information about the property, current ownership, and possible issues discovered related to ownership.
The following are some of the important clauses that need to be included in the Title Report:

Schedule A
This section of the title report typically details the scope of the title search, title insurance policies to be issued, the full names of the current owners, and the type of land interest, such as fee simple.

Schedule B
Schedule B lists the encumbrances and exceptions that affect the property.

Schedule C
In general, the legal description of the property is contained in Schedule C. Depending on how land records are recorded in the local authority, this description could take various forms. The description of the property may be by lot and block, metes and limits, partition plates, or subsections.

1. Ownership Structure
Report on ownership structure, joint tenants, individual, corporate, tenants in common, etc.

2. Deed Copy
The most recent deeds are made available duly certified.

3. Document Book and Page
Written location of the documents, showing book and page or document number.

4. Legal Description
Description of the property in legal parlance.

5. Chain of Documents
Details of previous owners of the property with chain documents.

6. Possession
Actual Possession of the property.

7. Right of Way
A right of way may have been issued to allow use by another party.

8. Leases
Recorded leases can affect the ownership and use of property.

9. Mortgage Search
Details of mortgage lender, amount of mortgage and date.

10. Equity Loan Search
Report of equity loans against the property.

11. Tax Payment Search
Details of tax payment in relation to the property.

12. Foreclosure Search
Report of foreclosure status, listing any pending litigation, notice of default, etc.

13. Bankruptcy Search
Reporting the bankruptcy of the owner of the property.

14. Civil Court Record Search
Report of civil court records found to be recorded against the land records of the property.

15. Tax Lien Search
Title search for tax lien encumbrances on the property.

16. Municipal Services Lien Search
Report of dues of unpaid municipal services such as utilities, water, sewer, trash, etc.

17. Property Restriction
Reporting of restrictions on sale like sale in case of a minor etc.

18. Spousal support Lien Search
Encumbrances for delinquencies of spousal support, alimony or other court required payments.

19. Child Support Lien Search
Searches for liens of delinquent child support payments.

20. Treasury Lien Search
Liens for unpaid tax payments.

21. State Tax Search
Check for unpaid Sales Tax, employment taxes, state licenses, etc.

22. Property Zoning
Zone under which the Property is located like Ecological Zone, Flood Zone, Earthquake Zone, Volcanic Belt etc.

23. Property Easement Search
Shows easements, right of way, etc

24. Title Abstract Document
An official abstract document is provided - not just a deed report.

25. Municipal Assessed Value
In Metro’s the valuation is done by the Local Authority.

26. Plot/ Survey Map
Copy of official survey, if recorded.

27. Power of Attorney
This will show if the property owner has recorded an authorized party to act on his behalf with regard to property transaction.

28. Special Assessment
Any Special Assessment of the property being conducted or pending by the Local Authority.

29. Partnership Agreement
Whether Property is owned or contributed to any Partnership Firm.

30. Promissory Note
Personal loans against the property owner are sometimes recorded against the property.

31. Correction Deed
If an error existed on the prior deed, a correction deed can be used to rectify the error.