Buying Without Understanding the Title
Most real estate agents are careful with inspections🛠and financing💰.
But many agents skip looking at the title📜.
They don't realize it's basically the handbook for what you can and can’t do with the property🏠.
Don’t Leave it to the Lawyers ⚖
Too often, agents assume, "Oh, the lawyers will handle that at closing."
But here is the harsh reality:
🔴 It’s often too late: By the time a lawyer reviews the title at closing, the deal is firm. Your client is legally stuck with whatever restrictions exist.
🔴 Real consequences: Things like easements, caveats, and restrictive covenants can drastically impact what your clients thought they were buying.
The Conservation Reserve Shock 🦆
👉 Recently, a client buying a rural property was shocked to discover that a large portion of their land was held in a conservation reserve.
They couldn’t build on it. 🔨
Other common headaches include:
➡ secondary-suite limitations;
➡ fencing limitations; and
➡ legal access over shared driveways.
Be the Agent Who Checks the Title 🤓
Treat the title review with the same seriousness as a home inspection.
1. Pull Title Before the Offer: Never submit an offer blindly. Always pull a copy of the title and the relevant registrations first.
2. Review the Details
Don't just look for liens. Look for:
Restrictive Covenants: These can dictate everything from the color of the siding to setbacks that are stricter than city bylaws.
Easements: Does a utility company or a neighbor have the right to cross the land?
Caveats: Are there third-party interests claiming a stake in the land?
3. Add a Condition
If you see something confusing on the title, or if there are complex registrations, insert a condition allowing for a legal title review before the deal goes firm.
This gives your client the option to back out if the restrictions are a dealbreaker.
Need Help with Title Reviews? Call for Answers
📞 Realtor® Hotline
Real estate isn’t 9-5, and neither am I. Call me anytime, even on weekends and evenings, for legal advice when you need it most.
587-570-7428
-Erin