What Is Title Insurance?
By law, title to property can be affected by various common events. For example, if a property
owner dies, files bankruptcy, owes taxes, loses a lawsuit, gets a loan, violates building code
provisions, commits a crime, gets married, gets divorced or becomes mentally incapacitated,
title to the persons property might become impaired. To determine whether any problems exist, a title search is conducted. The title examiner will review all documents recorded in the
public records that might attach to the property. If the documents disclose a title defect, the
professionals at Clear Title Solutions will take further action to resolve the issue. The closing
will be scheduled after all problems have been cleared.
Which settlement fees are paid by the buyer at closing?
Although all costs are negotiable, the current version of the Florida real estate contract utilized by the Florida Association of Realtors reflects the following closing costs paid by the buyer:
– Simultaneous issue of lender’s title policy and related closing fees
– Costs for endorsements to lender’s title policy
– Termite inspection
– Home Inspection
– Taxes (prorated to date of closing)
– Homeowners association dues, transfer fees and capital contribution (where applicable)
– Association approval fees
– Homeowners Insurance (1st year) and flood insurance (as applicable)
– Cost to record deed (approximately $14.50 – $41.00) and mortgage (approximately $175)
– Documentary stamps on mortgage amount ($.35 per $100 of mortgage amount)
– Intangible tax on mortgage amount ($.002 x mortgage)
– Loan closing costs
What settlement fees are paid by the seller at closing?
Although all costs are negotiable, the current version of the Florida real estate contract utilized by the Florida Association of Realtors reflects the following closing costs paid by the seller:
– Title search
– Municipal lien search
– Owner’s title insurance policy and related closing fees
– Real estate commission
– Payoff of existing mortgage(s)
– Taxes prorated to date of closing
– Documentary stamp tax on deed ($.70 per $100 based on sales price)
– Statutory Title surcharge
What do I need to bring to the closing?
All buyers/borrowers and sellers must bring some form of photo identification – drivers license, state identification card or passport. Borrowers should also bring a second form of identification (voters registration card, social security card, insurance card).
How do I pay any money I owe at closing?
All funds above $500.00 must be wired to Clear Title Solutions prior to closing. Wiring
instructions are provided to buyers/borrowers along with the final approved closing statement.
Due to the abundance of fraudulent cashier’s checks, those are no longer an acceptable form of closing funds and are not considered “collected funds” under the terms of the current contract.
Where and when will I be closing?
Your closing will be held at our offices in Longwood. The time for closing will be determined based on your schedule and receipt of any lender closing documents. Our closing hours are from 8:30AM to 4:00PM. Please consider wiring time when scheduling your closing (i.e. order wires the day before, if closing occurs before noon.)
What is a municipal lien search and do I need one?
A municipal lien search reveals the status of: open building permits, zoning or code violations and liens, unpaid water/sewer fees(if provided by the city or county). A municipal lien search is not required and you can obtain his information through other avenues. However, if you elect to obtain this information on your own, Clear Title is unable to insure against these matters.
Does my spouse need to attend closing?
If you are the purchaser or borrower, and you are placing a mortgage on property that will be
your primary residence, your spouse must attend closing and sign certain documents. If you are the seller and selling your primary residence, your spouse must attend closing and sign certain documents.