Clear Title of property
Last modified March 5, 2022A critical step for the sale of any home is the review of the property’s title report. A buyer, their mortgage lender and the title insurance company will want to review the current title history of the property to make sure that the next buyer can purchase the property free of any unnecessary liens and encumbrances. Property taxes are an ongoing lien that cannot be removed, and there are many title restrictions that will stay with the property if it has easements, condo restrictions or other agreements with neighbors or municipalities. It is important for all Buyers, not just first time homebuyers to make sure they have clear title before closing on their new home.
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Top 10 terms for First-Time Home Buyers:
- Homeowner's or Hazard Insurance policy
- Real Estate and Mortgage Disclosures
- Consumer Mortgage Disclosures are a Federal Regulation.
- Due on Sale Clause
- Federal Home Loan Bank or FHLB
- APR (Annual Percentage Rate)
- Federal tax lien
- PMI (Private Mortgage Insurance)
- General liens on property
- Gift letters in mortgages