Buying real estate and agreement concept. Real estate agents agree to buy a home and give keys to clients at their agency's offices.

Who Picks The Title Company In Texas?

Title Company in Texas

When navigating the complexities of real estate transactions, particularly in Texas, one of the critical decisions involves choosing the title company. A title company plays a pivotal role in ensuring that the transfer of property ownership is smooth, legal, and secure. But who exactly has the authority to pick the title company in Texas? Understanding this process is essential for buyers, sellers, and real estate professionals alike.

The Role of the Title Company

Before delving into who selects the title company, it’s important to understand what a title company does. A title company is responsible for verifying the legal ownership of a property, ensuring there are no liens or encumbrances, and facilitating the transfer of ownership from seller to buyer. In addition, the title company provides title insurance, which protects the buyer and lender against potential liens or disputes over ownership that may arise after the sale is completed.

Title insurance is vital in real estate transactions as it ensures that the buyer receives a clear and marketable title, free from any legal claims that could jeopardize their ownership. Given the importance of this role, selecting a reputable title company is crucial.

Who Chooses the Title Company?

In Texas, the selection of the title company is not set by law, but rather it is often determined by negotiation between the buyer and seller. This decision is typically outlined in the real estate contract during the negotiation process. Here’s how it usually breaks down:

  • Seller’s Preference: In many cases, especially in a seller’s market, the seller may prefer to
    choose the title company. Sellers often have a title company they’ve worked with before or one
    that is familiar with the property often making the process smoother and more efficient.
  • Buyer’s Input: In a buyer’s market or in situations where the buyer has specific preferences,
    the buyer may negotiate to select the title company. Some buyers may prefer a title company
    they’ve worked with in the past or one that is highly recommended by their real estate agent or
    lender.
  • Mutual Agreement: Often, the buyer and seller come to a mutual agreement on which title
    company to use. This agreement is usually based on recommendations from real estate agents,
    past experiences, or the reputation of the title company.
  • Lender’s Role: In some cases, the lender may have a preferred title company, particularly if the
    lender is providing financing for the purchase. While the lender cannot force the buyer or seller
    to use a specific title company, they may recommend one, and their input can influence the
    decision.
Title Company in Texas

Factors to Consider When Choosing a Title Company

Whether you’re a buyer, seller, or real estate professional, selecting the right title company is a significant decision. Here are some factors to consider:

  • Financial Strength: One critical aspect often overlooked when choosing a title company is its
    financial strength. A financially robust title company is better positioned to pay out claims should
    an issue arise after the sale is completed. Title insurance is only as reliable as the company
    backing it; therefore, choosing a title company with a strong financial standing ensures that they
    can fulfill their obligations, offering peace of mind to all parties involved.
  • Reputation: The reputation of the title company is paramount. A company with a strong track
    record, positive reviews, and a history of successful transactions is likely to provide a smoother
    experience.
  • Experience: The complexity of real estate transactions requires a title company with extensive
    experience. Look for a company that has been in business for several years and has handled a
    variety of transactions.
  • Customer Service: Exceptional customer service is crucial in real estate transactions, which
    can be stressful and time-sensitive. A title company that is responsive, communicative, and
    willing to go the extra mile can make a significant difference.
  • Local Knowledge: A title company with deep knowledge of the local real estate market and
    laws can provide invaluable insight and guidance throughout the transaction process.

Why Republic Title Is the Preferred Partner in North Texas

When it comes to choosing a title company in Texas, Republic Title stands out as the preferred partner for many buyers, sellers, and real estate professionals. As a full-service title insurance company, Republic Title handles the transfer of title for real estate transactions with the utmost care, professionalism, and integrity. Their mission is to provide value to every customer through proven experience, dedicated service, and lasting relationships.

Republic Title’s commitment to exceptional, responsive customer service is unsurpassed. With a track record of success and a reputation built on trust, Republic Title ensures that every real estate transaction is handled with the highest level of expertise. Moreover, Republic Title’s strong financial foundation guarantees their ability to pay claims, providing additional security to their customers. Their deep understanding of the North Texas market, combined with their extensive experience in handling both residential and commercial transactions, makes them the go-to choice for title services in the region.

Source: Republic Title Tip: Who Picks the Title Company in Texas? – CandysDirt.com

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Understanding Title Commitments

When it comes to real estate transactions, few documents are as important as the title commitment. This essential document, provided by the title company, serves as a roadmap for all parties involved, outlining the state of the property’s title and highlighting any potential issues that may need to be addressed before closing. At Republic Title, we understand that the title commitment can seem complex and daunting, but we’re here to simplify the process and ensure that your transaction proceeds smoothly.

In this article, we’ll break down the components of a title commitment, explain their significance, and highlight why choosing Republic Title as your trusted partner can make all the difference in your real estate journey.

What Is a Title Commitment?

A title commitment outlines the conditions under which a title insurance company will issue a title insurance policy. It discloses the current state of the title to the property, listing any liens, defects, or obligations that may affect the property’s ownership. The commitment is a crucial part of the due diligence process, providing transparency and protecting all parties involved in the transaction.

The title commitment is comprised of sections, known as Schedules A, B, C, and D. Each of these schedules serves a specific purpose, offering detailed information that is important to the successful completion of the transaction.

Schedule A: Actual Facts

Schedule A is often referred to as the “Who, What, Where, and How Much” section of the title commitment. It contains the key facts about the transaction, including:

  • The names of the proposed insured (buyer) and the current record owner (seller)
  • A legal description of the property
  • The sales price
  • The name of the lender, if applicable

This section is important because it ensures that all the basic details of the transaction are accurate and align with the terms of the contract. At Republic Title, we recommend that all parties carefully review Schedule A to confirm that the information is correct. If any discrepancies are found, it’s essential to address them promptly with your title company to avoid
delays.

title commitment

Schedule B: Buyer Notification

Schedule B lists the general and specific exceptions to the property that may limit a buyer’s use of the property or give others the right to use all or a portion of the property. The buyer takes the property subject to these exceptions and they are not covered by the title insurance policy.
This section may include:

  • Survey matters
  • Property taxes
  • Easements
  • Building setback lines
  • Mineral or Oil and Gas reservations or leases
  • Other restrictions or encumbrances

This section is critical because it informs the buyer of any potential issues or obligations that could affect their ownership of the property. Understanding these exceptions is key to making an informed decision.

Schedule C: Clear In Order To Close

Schedule C outlines any issues that must be resolved before the title can be transferred to the new owner. These issues, known as “clear to close” items, might include:

  • Existing mortgages that need to be paid off
  • Liens for home improvements
  • Unpaid taxes or other obligations that could include Abstracts of Judgement, State or Federal
    Tax Liens or Child Support Liens among other things.
  • Probate, Divorce or other legal proceedings

All items listed in Schedule C must be addressed and cleared before closing can proceed. Republic Title is dedicated to helping you resolve these issues efficiently, ensuring that your transaction stays on track and that you can close on your property without unnecessary delays.

Schedule D: Disclosure

Schedule D provides transparency regarding the amount of the title insurance premium as well as ownership of the title company and details all parties who will share in the insurance premium collected to issue the policy. This section typically includes:

  • Officers of the Underwriter and Title Agent

A title commitment is a vital document that plays a crucial role in the success of any real estate transaction. By understanding its components and working with a trusted title company like
Republic Title, you can ensure that your transaction proceeds smoothly and without unexpected surprises. From verifying the accuracy of Schedule A to clearing any issues on Schedule C,
Republic Title is here to guide you every step of the way. Whether you’re a first-time homebuyer, a seasoned investor, or a real estate professional, Republic Title is your go-to resource for proven experience and dedicated service. For more information, visit republictitle.com.

Source: Understanding Title Commitments with Republic Title – CandysDirt.com

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2024 Commercial Endorsement Guide

We’re excited to announce the release of the 2024 Commercial Endorsement Guide, your go-to resource for the top ALTA commercial endorsements. This guide is now available in both printed and digital formats, ensuring that you have the flexibility to access the information you need, whenever and wherever you need it.

What’s New in the 2024 Guide?

  • Interactive Digital Flipbook: The digital version of our guide is designed as an easy-to-navigate flipbook. You can quickly access a clickable list of top commercial endorsements and perform keyword searches to find exactly what you’re looking for. The flipbook is linked here for your convenience.
  • Alignment with 2021 Policy Forms: All endorsements in the guide are related to the 2021 Owners and Loan Policy forms.
  • New Endorsements: We’ve included new ALTA 10.2 and 10.3 endorsements.
  • Revised Endorsements: The guide also features updated endorsements, including the ALTA 3.3, ALTA 14 series, and ALTA 42.

Whether you prefer the tactile experience of a printed guide or the convenience of a digital one, the 2024 Commercial Endorsement Guide is designed to make your work easier and more efficient. Access it today and ensure you have the best tools at your disposal for your commercial transactions.

Click here to access the digital 2024 Endorsement Guide.

Printed guides are also available. Please contact Vicki Summerall or Andi Bawcum to request yours today.

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Understanding The Differences Between Title Insurance and Homeowners Insurance

When navigating the world of insurance, it’s important to know the difference between title insurance and homeowners insurance.

As a crucial aspect of homeownership, insurance plays a pivotal role in safeguarding your investment and providing peace of mind. For many homeowners, understanding the nuances between various insurance types can be daunting. At Republic Title, we frequently receive inquiries about the distinctions between title insurance and homeowners insurance. In this article, we’ll delve into the differences between these two essential forms of insurance and why they’re both vital for protecting your interests as a homeowner.

Title Insurance

Title insurance protects the homeowner and lenders against financial loss arising from defects in the property’s title or ownership rights. These defects could include undisclosed liens, encumbrances, errors in public records, or even fraudulent claims to the property. Unlike other forms of insurance that protect against future events, title insurance insures against events that occurred or liens that were filed before the date of the policy.  

Before a title commitment and policy can be issued a title company searches the property records to uncover any existing issues with the title, but even the most thorough title search may fail to uncover certain hidden defects. Title insurance provides a safeguard against these unforeseen issues.

There are two types of title insurance policies: Owner’s Policies and Loan Policies.  An Owner’s Policy protects the homeowner’s ownership rights and remains in effect for as long as the homeowner or their heirs maintain an interest in the property.  A Loan Policy ensures that the lender (if there is one) has a valid lien on the property and protects the lender’s interests in the property for as long as the lender’s mortgage is outstanding.   

Title insurance premiums, which are regulated and set by the Texas Department of Insurance, are a one-time fee typically paid at the time of closing.  In the event of a covered title defect, the title insurance policy will provide financial protection that includes, but is not limited to legal fees, settlement costs, and any loss in property value.

Before a home purchase can get the clear to close, it must make it through many hurdles. Republic Title has skilled staff available every step of the way.

Homeowners Insurance

Homeowners insurance, on the other hand, is a type of property insurance that provides financial protection against damage to the home and its contents, as well as liability for injuries or property damage caused by the homeowner or their family members. Unlike title insurance, which focuses on the property’s title, homeowners insurance primarily covers physical damage and liability risks associated with homeownership.

Homeowners insurance policies typically provide coverage for a wide range of perils, including fire, theft, vandalism, windstorm, hail, and water damage (excluding floods and earthquakes, which usually require separate coverage). In addition to damage to the physical structure of the home, homeowners insurance may also cover personal belongings such as furniture, clothing, and electronics.

In the event of a covered loss, homeowners insurance will reimburse the homeowner for repair or replacement costs, up to the policy’s coverage limits. Most homeowners insurance policies also include liability coverage, which protects the homeowner against lawsuits arising from bodily injury or property damage suffered by others while on the insured property.

Homeowners insurance premiums are typically paid on an annual basis. The cost of homeowners insurance will vary between insurance companies and due to factors such as the home’s location, construction materials, and the homeowner’s claims history. To ensure adequate coverage, homeowners should regularly review their insurance policies and adjust their coverage limits as needed to account for changes in property value or personal belongings.

Key Differences:

  1. Coverage Focus: Title insurance focuses on protecting against defects in the property’s title, while homeowners insurance primarily covers physical damage to the home and personal belongings, as well as liability risks.
  2. Nature of Risks: Title insurance protects against past events or defects in the title, while homeowners insurance protects against future events such as fire, theft, or liability claims.
  3. Payment Structure: Title insurance premiums are typically paid as a one-time fee at the time of closing, whereas homeowners insurance premiums are paid annually or in installments.
  4. Duration of Coverage: Title insurance remains in effect for as long as the homeowner or their heirs maintain an interest in the property, while homeowners insurance policies are typically renewed annually.
  5. Coverage Limits: Title insurance coverage is based on the property’s purchase price, while homeowners insurance coverage limits can be adjusted to reflect changes in property value or personal belongings.

In conclusion, while both title insurance and homeowners insurance are essential for protecting homeowners’ interests, they serve different purposes and cover different aspects of homeownership. By understanding the differences between these two types of insurance, homeowners can ensure comprehensive coverage for their property investments.

Source: Candysdirt.com – What Are The Differences Between Title Insurance And Homeowners Insurance? (candysdirt.com)

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Republic Title Tip – Title Insurance: Safeguarding Your Home

When it comes to purchasing a home, the excitement of finding the perfect property can often overshadow the importance of ensuring the title is clear and free of any disputes. Yet, overlooking this crucial step can lead to significant financial and legal ramifications. This is where title insurance steps in as a guardian of your investment, providing assurance and protection against unforeseen risks. In this Republic Title Tip, we delve into the significance of title insurance for homebuyers, shedding light on why it’s an indispensable aspect of the real estate transaction process.

What Is Title Insurance?

First and foremost, let’s unravel the concept of title insurance. In essence, title insurance is a specialized type of insurance that indemnifies homeowners against loss arising from defects in the title or ownership of a property.

Unlike other forms of insurance that protect against future events, title insurance is a one-time premium and focuses on mitigating risks associated with past events that may affect the property’s legal ownership.

Why Is Title Insurance Necessary?

Consider this: When purchasing a home, you’re not just acquiring the physical structure and land. You’re also buying the legal history.

By conducting a comprehensive title search, title insurance companies unearth any potential clouds on the title, such as unpaid taxes, liens, undisclosed heirs, or unresolved legal disputes. If an issue arises after purchase, title insurance provides coverage for loss, costs, attorney’s fees, and expenses, thereby shielding homeowners from financial liabilities that could otherwise jeopardize their investment.

Title Insurance for Ownership Disputes

One of the primary risks title insurance protects against is the threat of ownership disputes. Imagine purchasing your dream home, only to discover months or even years later that another party has a legal claim to the property.

Such scenarios can arise for various reasons, including errors in public records, forged documents, or undisclosed heirs asserting their rights to the property. Without title insurance, resolving these disputes can entail lengthy and costly legal battles, potentially resulting in the loss of your home and investment.

Title Fraud, Errors, and Property Easements

Moreover, title insurance also guards against title defects that may arise post-purchase. These defects can range from errors or omissions in the title documentation, fraud, or forgery, to someone else having an easement on your property, or no access to your property. Without adequate protection, homeowners could find themselves facing substantial financial burdens to rectify these issues or even risk losing their property altogether.

Republic Title understands the significance of title insurance in safeguarding their clients’ investments. As a trusted resource and industry expert, they go above and beyond to ensure your real estate transactions are conducted with the utmost diligence and integrity. Their team of experienced professionals conducts thorough title searches, leveraging technology and industry expertise to identify and mitigate any potential risks to your investment.

Republic Title offers a range of title insurance policies tailored to meet the unique needs of homeowners and lenders alike. Whether you’re purchasing a new home, refinancing an existing mortgage, or conducting a commercial real estate transaction, Republic Title can provide comprehensive coverage and exceptional service at every step.

Title insurance is not just another box to check off during the home-buying process — it’s a critical safeguard covering title risks. By partnering with Republic Title, you can trust your real estate transactions are in expert hands, backed by decades of industry experience and a commitment to excellence.

Source: Candysdirt.com – Title Insurance: Safeguarding Your Home Investment – CandysDirt.com

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Republic Title Mobile

If you haven’t downloaded our app, Republic Title Mobile, now is the time! Join other real estate agents using Republic Title Mobile and see why we have a 5 star rating in the Apple Store!
 
Republic Title Mobile is a mobile app that provides easy access for real estate professionals, buyers, and sellers to closing cost calculators, educational videos and articles on title insurance and the real estate industry, and more information on our services to serve your real estate needs.
 
Our convenient calculator allows users to quickly calculate closing fees associated with your transaction. Calculators include:
• Title Quote
• Closing Disclosure Quote
• Loan Estimate Quote
• Seller Net Sheet
• Sell To Net
• Seller’s Multiple Offers
• Buyer Estimate
• Monthly Affordability
• Rent vs Buy
 
Download our mobile app now in the Apple App Store or the Google Play Store!
Legal-Team

Meet Our Residential Underwriting and Legal Team

As an industry leader and authority on the local real estate market, you can count on Republic Title’s highly trained teams and in-house attorneys to ensure your transaction closes quickly, with fast turnaround on title searches and underwriting decisions.

We are proud to highlight our Residential Underwriting and Legal team who are available to answer your questions and be a resource for you in working towards a smooth closing. Be on the lookout in the coming days to learn more about our incredible team of attorneys and how they are committed to helping you get to the closing table!

Matt Visinsky is Senior Vice President/Senior Residential Counsel at Republic Title. Matt has been with Republic Title for nearly 25 years. With experience as both an Escrow Officer and Branch Manager, Matt brings a unique perspective to his role. Matt’s attention to detail and extensive knowledge of the real estate transaction make him an invaluable member of our legal team. In his free time, Matt is an avid sports photographer and his work has been published in ESPN’s The Magazine, Sports Illustrated and GQ.

Wade Bogdon is Assistant Vice President/Residential Counsel and has been with Republic Title for over 8 years. Wade has an extensive knowledge in title rules and procedures which allows him to give excellent service to our customers. Wade is quick to respond to questions and is able to clearly communicate rules and requirements. In his free time, Wade enjoys watching Dallas sporting teams, cooking and restoring and researching historic homes.

With over 52  years in the title business, Jay has worked with developers, lenders, real estate agents and attorneys, gaining him a tremendous amount of experience and knowledge in the industry. Jay is known throughout the real estate community for giving back both within our industry and being incredibly active in the community. With a background as a Branch Manager, Jay has a reputation for his incredible customer service which has built many great lasting relationships over his time with Republic Title. In his free time, Jay enjoys spending time with his family as well as traveling, biking and hiking.

 

Steve Holley is a solution-oriented underwriting counsel who has the ability to make everyone comfortable in the transaction which allows our closing teams the ability to close and insure transactions seamlessly. With 30 years of title industry experience, Steve knows title laws and procedures like the back of his hand. Steve is a highly effective communicator with a plethora of knowledge and is one of our highly sought after real estate class instructors. A proud SMU alumnus, Steve is an avid outdoorsman and enjoys spending his free time with his family and at the ranch.  

Sarah Mann has 13 years working in the title insurance industry with experience both in the closing room and resolving title issues. In her 10 years with Republic Title, Sarah has served in many roles including Escrow Officer, Branch Manager and Residential Counsel. Sarah is known for her personal attention to each real estate transaction and getting deals to the closing table. Her experience in the closing room enhances the service she can provide to every customer. We are extremely grateful for Sarah’s experience, wisdom and heart for our clients!

 

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Avoid Common Closing Delays

Remember – Prior planning prevents inconvenience.  Awareness of the following items will help to ensure a smooth closing.

LOAN REQUIREMENTS
Be sure that you return all lender requested documents and complete lender required tasks so they are able process your loan and get you through underwriting as soon as possible, in order to keep your closing date as scheduled. Failing to turn in documents in a timely manner can slow down the closing process.

TAX INFORMATION
If any delinquent taxes are found in your name during the title process, you will need to pay them prior to closing, and you must furnish an original tax receipt, otherwise you will not be able to close until payment of these taxes can be confirmed.

POWER OF ATTORNEYS
If either party intends to use a Power of Attorney at closing; i.e., will not be there to sign:

  • The title company must approve the Power of Attorney prior to closing.
  • The original Power of Attorney must be delivered to the title company prior to closing, as the original must be recorded with the County Clerk ahead of all other closing documents.
  • The title company must be able to contact you via telephone on the day of closing to be certain you are alive and well and have not revoked the Power of Attorney.

COMMON NAMES
If you have a common surname, please complete a Confidential Information Statement and return it to the title company prior to closing.

MARITAL STATUS
     A.  Texas is a community property state. If you purchased your property when you were single and you have married, the title company will require that your spouse join in signing the deed at closing, due to Texas Homestead Laws.

     B.  If you are divorced and your divorce proceeding was handled in a county other than the county you are in, please have a certified copy of the Divorce Decree delivered to the title company prior to closing.

OUT OF TOWN MAIL-OUTS
If any documents must be mailed out of town:

  • All documents must be signed exactly as requested.
  • All documents must have proper notarization.  Any documents mailed out of the country must be notarized in English.

REVIEW IMPORTANT DOCUMENTS
There a few important documents that the Buyer and their REALTOR® will need to review prior to closing. They include the Survey, Title Commitment, HOA documents (if applicable) and the Closing Disclosure. When the title company sends these documents, review them in a timely manner and alert your REALTOR® and/or the title company to any errors or discrepancies.

Print Version

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Republic Title Mobile

If you haven’t downloaded our app, Republic Title Mobile, now is the time! Join other real estate agents using Republic Title Mobile and see why we have a 5 star rating in the Apple Store!

Republic Title Mobile is a mobile app that provides easy access for real estate professionals, buyers, and sellers to closing cost calculators, educational videos and articles on title insurance and the real estate industry, and more information on our services to serve your real estate needs.

Our convenient calculator allows users to quickly calculate closing fees associated with your transaction. Calculators include:

  • Title Quote
  • Closing Disclosure Quote
  • Loan Estimate Quote
  • Seller Net Sheet
  • Sell To Net
  • Seller’s Multiple Offers
  • Buyer Estimate
  • Monthly Affordability
  • Rent vs Buy

Other Helpful Real Estate Resources Include:

  • Contact Information for Republic Title’s 13 North Texas Locations
  • Insightful News on the Title Insurance and Real Estate Industries
  • Educational Videos and Monthly Real Estate Stats

Republic Title Mobile can be found in the Apple App Store or in the Google Play Store.

If you have any questions, please reach out to one of our Business Development Representatives.

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Important After Closing Reminders for Buyers

Congratulations! You’ve just closed on the purchase of your new home! Here is a helpful list of important to-dos and reminders for after closing:

  1. A copy of the recorded Warranty Deed
    that transferred title of the property will be sent to you via email with your Owner’s Title Policy approximately one month after closing. Your Owner’s Title Policy should be printed and stored for safe keeping and/or saved on your personal computer.
  2. It is the taxpayer’s responsibility to be certain the property is rendered in the current taxpayer’s name
    for the upcoming tax year. Contact the County Appraisal District (CAD) for assistance in making certain this is done.
  3. Make certain to file your homestead designation with the County Appraisal District.
    If you have any questions about your homestead exemption for property tax purposes, or any other exemption which may be available to you, please contact your County Appraisal District. The forms necessary to apply for exemptions are available online from your Appraisal District at no cost. See the reverse side of this card for area County Appraisal District’s website and contact information.
  4. Contact the Home Warranty company if you received a home warranty and want additional coverage.
    If you received a Home Warranty (also known as a Residential Service Contract) in connection with your recent closing and wish to add additional coverage, please contact the Home Warranty company directly.

Collin County
Collin County Central Appraisal District
collincad.org | 469.742.9200

Dallas County
Dallas County Central Appraisal District
dallascad.org | 214.631.0520

Denton County
Denton County Central Appraisal District
dentoncad.org | 940.349.3800

Grayson County
Grayson County Central Appraisal District
graysonappraisal.org | 903.893.9673

Johnson County
Johnson County Central Appraisal District
johnsoncad.com | 817.648.3000

Kaufman County
Kaufman County Central Appraisal District
kaufman-cad.org | 972.932.6081

Rockwall County
Rockwall County Central Appraisal District
rockwallcad.com | 972.771.2034

Tarrant County
Tarrant County Central Appraisal District
tad.org | 817.284.0024

Exemption forms can be downloaded from the Central Appraisal District’s website for the county in which the property is located.

Click here for print version