Explanation of the Title Commitment
This explanation may help you understand the contents of the title commitment you receive from First American Title .
Schedule A
This is the information submitted to our title department by the escrow officer . It contains the basic information given to us by the buyer or real estate agent such as the legal description of the property , sale price , loan amount , lender , name and marital status of buyer and seller .
Schedule B
The Schedule B “ exceptions ” are items which are tied to the subject property . These include Covenants , Conditions and Restrictions ( CC & Rs ), easements , homeowner ’ s association by-laws , leases and other items which will remain of record and transfer with the property . They are referred to as “ exceptions ” because the buyer will receive a clear title “ except ” the buyer ’ s rights will be subject to conditions in the CC & Rs , recorded easements , etc .
Additional Items
These are items that First American needs to delete and / or record in order to provide a clear title to the property . Items that need to be addressed may include :
TTCurrent property-tax status ,
TTAny assessments that are owed such as those for a homeowners association ,
TTAny encumbrances ( or liens ) on the property .
Sometimes items show up against a property because another person has a name similar to an involved party . This is one of the reasons that you are asked to fill out an Identity Statement ; to determine if items may be inaccurate and can be deleted .
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