Questions to Ask a Commercial Title Insurance Company AZ
Anyone who owns a home has faced the subject of purchasing title insurance. The purchase of a commercial property comes with similar risks that you will want to ensure against by purchasing coverage from a reputable commercial title insurance company in AZ.
Commercial titles can present a slightly different set of issues you will want to include in your title policy. Here are some major questions you should consider when evaluating purchasing title insurance for your commercial real estate.
Q: What is the most common issue with commercial real estate titles?
One of the most common questions we encounter with respect to property ownership is “Should I get title insurance?” The answer is almost always a decisive “Yes!” Real estate is a substantial investment, and if you do not obtain good title, your investment could be worthless.
Q: What is the most common misconception about commercial real estate titles?
A common misconception is that ownership of a physical deed to a property is the equivalent of possession. Once a deed is recorded, ownership is consigned to the buyer regardless of who actually possesses the actual paper deed. Essentially, the deed becomes irrelevant once it is recorded.
Q: What should business owners know about titles before purchasing coverage from a commercial title insurance company in AZ?
Business owners need to understand that title to real estate, unlike titles to other assets, is not determined by a single document. Rather, it is determined by the entire collection of documents that pertain to a particular property. It is not an easy process to determine exactly who owns a property, and this reinforces the importance of insuring against a defective title search to any purchased properties.
Q: What should buyers expect throughout the commercial real estate title process?
Buyers should expect clear communication with the title insurance company that will issue the insurance policy with respect to their ownership. They should read the documents that are provided and ask questions if any clarification is required. If the title company cannot answer their questions, they should engage a real estate attorney to assist them with the process.
Q: What is the title process?
A contract to purchase the property will generally designate a title company to issue a title insurance policy in favour of the buyer. As the consumer who will pay the costs of title insurance, you should become an educated customer by using the resources of the Internet. There you can shop to learn about the product and research companies that offer commercial title insurance. Once the contract is signed, a copy of the contract should be immediately delivered to the designated title insurance company in AZ.
Q: Do you have to have an attorney through the title process, or is a real estate broker enough?
An attorney is not required, as real estate transactions are performed every day without the involvement of an attorney. Some buyers are comfortable working with just their broker and title company. However, they cannot give legal advice. The decision to engage an attorney is any other business decision and the costs, benefits and risks of the decision should be analyzed.
Q: What constitutes a “good” or “clear” title?
Generally, the term “good” or “clear” signifies title to real property that is totally free of claims, liens, or legal questions as to ownership.
If you are interested in learning more about coverage for your business, trust the experts at our commercial title insurance company in AZ. Call our office today to schedule a consultation and let’s get you the coverage to protect you and your property!