What is the role of a title agency in a commercial real estate transaction?

A title agency plays an important role in a commercial real estate transaction in California. The agency serves as an independent and impartial third-party who is responsible for providing the necessary research and services required to prove the validity of the legal title to a property. They can also provide protection to buyers, sellers, and lenders in the event of a title dispute. The title agency is responsible for performing searches in the public record to determine the legal status of a property. This includes researching any liens, judgments, or encumbrances that may be attached to the property. They may also review documents such as deeds, mortgages, or surveys. By doing so, they can provide assurance that the buyer will receive clear title to the property. The title agency will also prepare and issue title insurance policies. Title insurance provides protection to the buyer and lender against title defects or encumbrances that were not revealed in the title search. This is important for both the buyer and the lender, as it provides them with a financial assurance in the event of any legal complications. The title agency can also serve as an escrow agent. They will hold the money and documents involved in a transaction until all of the conditions of the agreement have been met. Once all of the requirements have been fulfilled, they will release the money and documents as instructed by the parties involved. In conclusion, the role of a title agency in a commercial real estate transaction in California is to provide assurance to the buyer and lender that the title to the property is valid, provide title insurance to protect against any title defects, and serve as an escrow agent to hold money and documents until all requirements are met.

What is the role of a title agency in a commercial real estate transaction?

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