It is a delightful experience to find the right property for yourself in New Jersey. Since there is a scarcity of properties for sale, getting a property of your choice in New Jersey can be tedious. Housing is not affordable in New Jersey compared to other areas. Many people hold onto their houses for generations. Moreover, because of the decline in property on the listings, the average price in New Jersey has shot up to $100,000. Now, the average cost of a house in New Jersey is $500,000, owing to the rise in demand.
If you found the perfect house for yourself in New Jersey, you must be excited to close the deal fast. However, there are many formalities that one has to complete before taking possession of the house. For example, you need to get a proper title search from a company to determine whether the property is safe to buy or not. It is an essential step that you must not miss, and it is best to hire an experienced title search company New Jersey for the task.
The title search company will check the background of the property and will ensure that there are no discrepancies in the records of the house.
What is a title search?
When buying a home, you are under the impression that the person selling the house has all its rights and is the rightful owner to close the deal. In many cases, someone else or a person with a lien might be the rightful owner. But, because of this assumption, many people have fallen into the traps laid down by fraudsters.
However, a title search company will conduct thorough research of all the public records about the specific property, and this research will reveal facts that could hamper the sale of the house.
Why is a title search important?
The existing owner of the property might not be aware of the entire history of the house because he might not be the first owner. So, you must conduct thorough research and find out if there are any previous claims to the property.
Besides, if the previous owner had some debts on the house, it might become your liability when you purchase the property. For instance, there could be unpaid taxes, association fees, home improvement bills, and other such issues. In other words, you will be stuck with someone else’s responsibility.
A title search company is also important because most lenders require you to submit a title search abstract or report with title insurance to lend you the money for the property.
What are the findings in the title search?
A title search company in New Jersey will reveal all the financial findings in their report. Some of the findings may include details about taxes, lien, easement, holdings, conversion, and a list of the previous owners.
When you hire a reputable company for a title search, they conduct a rigorous investigation to find all the records and provide you with an abstract in chronological order. The title search must show clear and unrestricted ownership of the current owner. Moreover, the title search company will also offer title insurance. If there are any claims in the property arising because of any issues in the title, the insurance will cover the expenses.