What is Title? 

Title is a term that includes all of your legal rights to own, use and sell land (immovable property). The title reflects all previous ownerships and transfers, including rights previously granted by other parties, such as mortgages and easements.

 

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What is a Title Search/ Title Abstract? 

Examination of the history and ownership of immovable property detailing the dates person(s) purchased or sold the property. This information is derived from public record. The purpose of the search is to verify the seller’s right to transfer ownership and to discover claims, liens, defects, and other rights or burdens on the property. 

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What are the

recording fees?

The cost of recording the transfer of the title at the Parish's Clerk's office.The recording fee varies by the fees established by the Clerk of Court in each Parish.  

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Closing Costs that are usually only paid once at closing. 

• State, city, and/or Parish taxes

• Escrow

• Notary fees

• Attorney fees

• Recording fees

• Endorsement fees

• Title fees

• Wire fees

• Home inspection fee

• Courier fees

• Home protection plans

• Natural hazard disclosure fees

Do I need an

abstract of title? 

Most lenders require title examination prior to financing. 

Title examination can discover whether there are unpaid taxes, unsatisfied mortgages, judgments against the seller and restrictions limiting the use of the land. Unfortunately a title search may not discover defects such as fraud, forgery, defective title, mental incompetence, confusion due to similar or identical names, or clerical errors in the records.

 

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How much does it cost to update an abstract? 

The cost to update an abstract often depends upon the date to which the abstract was last certified and the parish where the property is located.  

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If my lender gets title insurance for its mortgage, why do I need a separate policy for myself?

There are two types of title insurance. The lender’s policy covers only the amount of their loan, which is usually not the full property value. An owner’s policy protects your property rights for as long as you or your heirs own the home.

In the event of an adverse claim, the lender would ordinarily not be concerned unless its loan became non-performing and the claim threatened the lender’s ability to foreclose and recover its principal and interest.  

In the event of a claim there is no provision for payment of legal expenses for an uninsured party. When a loan policy is being issued, the small additional expense of an owner’s policy is a bargain. 

What is a

Title Report ? 

A title report reflects the current status of title.  A title report includes pertinent information such as the last deed of record stating the present owner’s name; the property’s legal description; and any unreleased liens (e.g., mortgages, judgments, federal and/or state tax liens, and mechanic’s liens).

 

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What if there is a lien or judgment associated with the property/ seller? 

Seller needs to eliminate them by paying off the appropriate parties who hold the lien or mortgage and then get those liens/mortgages discharged before proceeding with the closing. 

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What is Title Insurance ?

An insurance policy that protects you (owner’s policy) or your mortgage lender (lender’s policy) against potential problems related to the title of your property.

There are three things to know about Title Insurance: 

1. Your mortgage lender will require title insurance 

2. There are two different policies to consider purchasing 

3. Even new constructions need title insurance coverage. 

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Other Closing Costs you prepay and will 

continue to pay after closing: 

• Property insurance premiums

• Flood insurance (if required)

• Prepaid interest

• Property taxes

• Mutual or private mortgage insurance premiums

 Why do I need title insurance? 

Without a title insurance policy, you may not be fully protected against errors in public records, hidden defects not discovered in the public records, or mistakes in examination of the title of your new property. As a result, you may be held fully accountable for any prior liens, judgments or claims brought against your new property. If a problem does arise, the title will be defended without cost to you and if the title, or any part of it, should be other than insured, you will be reimbursed, up to the face amount of your policy, for any financial loss incurred.

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How Much does title insurance cost? 

The cost varies, depending mainly on the value of your property. The important thing to remember is that you only pay once. The coverage continues in effect for so long as you have an interest in covered property. If you should die, the coverage automatically continues for the benefit of your heirs. If you sell your property, giving warranties of title to your buyer, your coverage continues on that property but does not pass on or cover the new purchaser. Likewise, if a buyer gives you a mortgage to finance a purchase of covered property from you, your coverage continues to protect your security interest in the property.

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What to bring to closing.

• Cashier’s check or proof of wire transfer for the exact amount of money you need to close. (payable to New Life Title Company, LLC)

• Wire transfer of funds is required for any monies due over Three Thousand ($ 3,000.00) Dollars. Personal checks are not accepted, and we sincerely apologize for the inconvenience. 

• Driver’s license or government approved identification 

• Other requested documents