Understanding Preliminary Title Reports Arlington VA

When preparing to purchase a home, title insurance becomes a major priority. Before issuing your title insurance, the title company will first issue you a Preliminary Report.

Michael Charles Bobrick
(703) 696-2516
901 N Stuart St Ste 420
Arlington, VA
Specialties
Environmental, Administrative Law, Real Estate
Education
George Washington University National Law Center,Stetson University College of Law,University of Pen
State Licensing
Florida, Virginia

Dawn Kelly Crowell
1021 N Garfield St Apt 217
Arlington, VA
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Real Estate
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Univ Of Virginia Sol,Wheaton Coll
State Licensing
California

Nancy L Hankin
(404) 853-8438
2900 Crystal Dr
Arlington, VA
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Real Estate, Litigation, Appeals
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DC

Paul Christopher Mueller
(703) 969-0046
414 S Illinois St
Arlington, VA
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Business, Antitrust, Contracts, Corporate, Social Security, International Law, Real Estate
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Barbara Ann Hynak
(703) 892-4989
812 South Courthouse Road
Arlington, VA
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Intellectual Property, Corporate, Real Estate
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Ohio Northern University - Claude W. Pettit College of Law,Murray State University
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Virginia

James B Davis
(703) 525-4000
2300 Wilson Boulevard, 7th Fl
Arlington, VA
Specialties
Business, Land Use & Zoning, Real Estate
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DC

Hoan Vu Nguyen Vo
671 N Glebe Rd 12th Fl
Arlington, VA
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Business, Real Estate, Litigation
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UC Hastings COL,Univ of California at Los Angeles
State Licensing
California

Philip R. Croessmann
(703) 894-1224
1220 N Fillmore St Ste 310
Arlington, VA
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Business, Real Estate, Construction
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Syracuse University College of Law,University of Oregon
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DC, New York, Virginia, Washington

Frederick Richard Taylor
(703) 525-4000
Suite 700, 2300 Wilson Boulevard
Arlington, VA
Specialties
Land Use & Zoning, Business, Real Estate
State Licensing
Virginia

David Craig Hannah
(703) 525-4000
Suite 700, 2300 Wilson Boulevard
Arlington, VA
Specialties
Business, Land Use & Zoning, Real Estate
State Licensing
Virginia

Understanding Preliminary Title Reports

Provided by: 

  • Report created by Title Company prior to issuing of title insurance
  • Work on a Preliminary Report begins just after escrow opens
  • IS NOT title insurance, just a report
  • Title Companies can still protect your interests through “binders” and “commitments” prior to the closing of the transaction
  • Look for the extent of your ownership rights on the Report
  • Includes a listing liens and encumbrances that won’t be covered
  • Liens and encumbrances that are covered will not be on the Report
  • Work with the seller and seller’s agent to clear liens prior to purchase

    When preparing to purchase a home, title insurance becomes a major priority. Before issuing your title insurance, the title company will first issue you a Preliminary Report. A Preliminary Report is a means to protect the buyer from any unforeseen costs or liabilities associated with the property in question. Work on this report can begin as soon as escrow opens. The title company will seek out all documents related to the property in order to figure out what restrictions they will place on your coverage.

    It is important to remember that a Preliminary Report offers no insurance coverage. It is only a report with terms and conditions for a title insurance policy. There is no contract or liability for the title company until the actual insurance policy is issued. The title insurance policy is issued to an individual and others cannot claim its benefits.

    You can still protect your interests prior to issuance of your title insurance policy through “binders” and “commitments” issued by your title company. Binders give temporary coverage until the actual policy is issued; commitments are the contractual obligations of the title company to insure your property once you have met their stated requirements.

    When viewing a Preliminary Report, there are some important things to look for. First among these is a listing of title defects, liens and encumbrances which will not be covered by the insurance policy issued by the title company as of the date of the issuance of the Preliminary Report. These are listed in a numbered list under the heading “Exceptions” on the Preliminary Report. Exceptions can be any number of things, from creditors who have liens for unpaid taxes or assessments, to restrictions contained in the covenants, conditions, and restrictions of the property (CC&Rs), to third party limitations on property usage. This listing gives you the opportunity to discuss these issues with the title company and the seller prior to purchase, allowing you to possibly clear them from the property.
    Second, look for information on your ownership rights. This includes your personal ownership interest in the property, in addition to any claims, restrictions, or interests of other people in the property. There will be a statement of vesting telling the degree, quantity, nature, and extent of the owner’s interest in the property. The highest type of interest, and also the most common, is “fee simple” or just plain “fee.”
    Usually included is a list of standard exceptions and exclusions for the title company. Your property is not necessarily affected by any of these exceptions, but they give you important information for coverage on future usage of your property that may or may not be covered by your title insurance.
    Keep in mind that the Preliminary Report only includes liens, defects, and encumbrances affecting the title insurance policy. The property may have other issues which will affect your title to the land that are not listing on the Report.
    For more information regarding Preliminary Reports, talk to your real estate agent or your attorney. Also helpful are your escrow and title companies.

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