About your Title Commitment...
The ABC’s of a Title Commitment
Thank you again for working with Bay Area Title Services, LLC on your transaction. Enclosed is your Commitment for Title Insurance. This document is our commitment to insure your transaction and issue a title policy if conditions described in Schedule C are met.
Below is a general guide to reading the title commitment. Please contact your escrow officer with any questions about your specific transaction.
Schedule A“Actual Facts”
“A” is for “Actual Facts”. In other words, this is the “Who, What, Where and How Much” of the transaction. You’ll see the names of the seller and buyer, a description of the property, the sales price, and the name of the lender, if any.
Schedule B “Buyer Notification”
“B” is for “Buyer Notification” of items in which other parties have some interest or control of the use of the property. An example would be a utility easement, where the city would have a part of the land reserved for their use, or a building setback requirement that prevents the homeowner from building within a certain distance from the front, side or back of the property. These items are not covered by the title policy.
Schedule C “Clear to Close”
“C” is for “Clear in order to Close”. These items must be resolved in order to transfer title to the new owner. This might include such things as a mortgage to be paid off, home improvement liens, unpaid taxes, or a requirement that another person – such as an heir or a former spouse – participate in the sale of the property. All items shown on Schedule C must be resolved before or at the closing.
Schedule D “Disclosure”
“D” is for “Disclosure”, this last section outlines all parties who will share any part of the insurance premium, including underwriters, title agents and attorneys.