Real estate investment is a huge undertaking. You are investing in a sanctuary for yourself and your loved ones. As such, you want to be certain that you get everything right the first time.
Like any investment, however, the importance of due diligence during a home purchase cannot be overstated. Next to home inspection, of the most important due diligence you need to exercise when a home is conducting a title search.
What is a property title search?
Basically, a title search digs into the property’s public records to establish its rightful owner. And that’s not all. A title search also reveals any legal issues on the property that could impact your purchase. Here are two questions a title search can help you answer:
1. Who owns the property?
A title search reveals who owns the property you are about to buy. This can be a sole owner or multiple owners. If the property is owned by more than one person, then you want to be sure that all the owners approve of the sale.
2. Does the property have any liens?
A lien is basically a red alert that someone or some entity has an interest in the property you want to buy. If the seller used the property as collateral to obtain credit, the lender will put a lien on the property. Buying a property that has a lien on it means that the seller will be passing over any debts taken out against the property to you.
Protecting your rights
A title search is a crucial activity when purchasing a property. Learning more about Oklahoma real estate transaction laws can help you safeguard your rights and interests when investing in your dream home.