When engaging in a real estate transaction, it can be challenging to identify the various parts and players involved and decide whom to rely on. A crucial role in this process is played by your title company. So what exactly does a title company do?

A title company is a business that specializes in real estate transactions, including title searches & exams, providing title insurance, and facilitating closings. Using a title company during a real estate transaction is essential for various reasons:


    1. A title company performs a title search to determine if there are any liens or encumbrances on the property, ensuring that the seller has the legal right to sell the property. This search protects the buyer from any future legal claims against the property.
    2. A title company issues title insurance, which protects the buyer and lender against any legal challenges that may arise after the closing. Title insurance is vital because even the most thorough title search cannot uncover every possible title defect or issue that may arise in the future.

    3. A title company also handles the closing process, ensuring that all necessary documents are properly executed, recorded, and funds are disbursed appropriately. This process helps to prevent any future disputes or misunderstandings between the buyer and seller.

    Most important of all, a title company can provide peace of mind and assurance to both the buyer and seller that the transaction is being conducted in a legal and professional manner. Utilizing a title company during your real estate transaction is essential to protect the interests of both the buyer and seller and ensure a smooth and successful transaction.