Buying property in New York can be both an exciting undertaking and a unique challenge. When it comes to real estate in the Empire State, you have to pay close attention to the details. How do you know you’re making a good deal, free of risks and liabilities? That’s where the title report comes into play.
When you’re in the market for a new property, you’ll have to comb through a number of records that contain important information about your prospective purchase. The title report is one of these key documents. It outlines ownership, vesting, encumbrances, and other details you should know about the property before you buy.
You should always scrutinize your title report for possible property defects, liens, restrictions, and other unexpected problems with the help of an experienced real estate attorney. Here’s what you can expect from the contents of your title report.
While the property description is intended to catch your eye in an advertising context, the legal description contains everything you really need to know. It includes a detailed description of the property’s location, its boundaries, and its relation to nearby streets and intersections. Legal descriptions for condos or planned unit developments (PUDs) will include their own unique details, like common areas, easements, and parking and storage information.
Your title report should not show any outstanding taxes or liens that could cause the cancellation of your transaction. Property taxes will be listed as the first lien on any title report. Check whether the taxes are due or paid in full. Unless they have been paid, any debt holders cannot receive payment, and the property cannot be transferred to a new owner.
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As the buyer, it’s important for you to understand title reports, but you should never enter into a real estate transaction without adequate legal representation. The detail-minded attorneys at Bergstein Flynn and Knowlton PLLC will closely inspect your title reports to make sure you’re not signing up for any extra baggage. Contact us today to discuss your next New York real estate transaction.