HOME

Why Title and Escrow Are Important When You

Buy, Sell, or Refinance

BY GEORGE BOSCH

HEN A REAL ESTATE transaction occurs, an owner’s title policy is issued to the buyer at closing and a lender’s W policy is issued if a lender is involved for a purchase with loan or a future refinance by the borrower. In a sale, the sale agreement specifies by Statute that the seller is providing free and clear title to the property. The escrow officer is the person responsible to clear the title report issued in a transaction and works to make sure anything that needs to be addressed to transfer title cleanly is handled property. Escrow is the process of taking all the necessary steps to close a transaction and be sure none of these situations affect your homeownership. Title Insurance is the mechanism to protect the buyer and the lender from the following examples: 1 DEED OR MORTGAGE in the chain of title may be a forgery.

2DEED OR A mortgage may have been made by someone incompetent to sign.

3DEED OR A mortgage may have been made by a person other than the owner, but with the same name as the owner.

4DEED OR MORTGAGE may have been procured by fraud or duress.

5TITLE INSURANCE PROTECTS against claims made by non-existent or divorced “wives” or “husbands.”

6TITLE TRANSFERRED BY an heir may be subject to a federal estate tax lien.

7AN HEIR OR other person presumed dead may appear and recover the property.

8A JUDGMENT OR levy against the seller may be voidable due to a defect in the court case. 9 TITLE INSURANCE COVERS attorneys’ fees and court costs.

10 BY INSURING TITLE, you can eliminate delays in the sale process.

11 TITLE INSURANCE REIMBURSES you for covered losses.

12 TITLE INSURANCE IS a one-time charge paid up front, good for as long as your heirs own the property.

These are just 12 examples why title and escrow are so important. Every situation and transaction are unique, so talking with a qualified specialist could save you hundreds of dollars.

George Bosch is the owner at Oregon Escrow Services and closes residential and commercial real estate transactions, seller carrybacks, manufactured home sales, business sales and specialty escrows. If you have questions regarding a transaction, or to learn how you can save up to 25% on escrow fees, George can be reached at 541-530-0001 or info@oregonescrowservices.com ✦