- What is Title? It is important to know what title is before discussing title insurance. Black’s Law Dictionary defines title as “the formal right of ownership of property.” Most contracts in Virginia require a seller to provide good and marketable title – title free from litigation, defects and grave doubts.
- What is Title Insurance? Title Insurance is an agreement to indemnify against damage or loss resulting from a defect in title to real property. The Virginia Code defines title insurance as insurance against loss by reason of liens and encumbrances upon property, defects in the title to property, and other matters affecting the title to property or the right to the use and enjoyment of property. Title insurance includes insurance of the condition of the title to property and the status of any lien on property.
- Why Do I Need Title Insurance? Title insurance is important to protect against unknown or unrecorded defects that may affect title to your property. Only an Owner's Policy fully protects the buyer should a covered title problem arise with the title that was not found during the title search. Possible hidden title problems can include errors or omissions in deeds, mistakes in examining records, forgery or undisclosed heirs.
- What if I’m not able to physically attend closing? In this situation, you have a choice. You can either (a) give someone a power of attorney to sign on your behalf, or (b) arrange for documents to be sent to you for execution and send the originals back to our office. Option (b) is difficult to arrange for buyers who are financing their purchase.
- When and how will I receive the proceeds from my sale? Under Virginia law proceeds from the sale must be sent within two business days from the closing date. We can send the funds by wire transfer, mailing a check or a check may be picked up from our office.
- What is a HUD-1 form? This form is a federally mandated form providing a detailed statement of the breakdown of costs involved in a real estate transaction.
- What is the role of the Settlement Company? The Settlement Company orchestrates the logistics of a real estate transaction including the closing, examines the title to the subject property and issues the policy of title insurance.
- What steps should I take if I want Vesta Settlements to handle my real estate closing? That’s easy. Just send us your ratified contract. You can email it to [email protected] or fax it to 703-288-3550. We’ll take it from there making sure to coordinate with all relevant parties.