Delays experienced by homebuilders can be minimized by contacting an experienced title agency early in the building process. Actions initiated by a proactive title agency that will minimize problems down the road can include the following:
- Setting a meeting with all parties from the onset (homebuilders, developer, attorney, engineer, architect, escrow holder, etc.). Establishing time frames, responsibilities and expectations from the beginning improves efficiency and project effectiveness.
- Expediting title/ lien searches and examining those records early on for potential issues.
- Coordinating with subcontractors so their concerns can be dealt with in the early stages of the project.
- Advising on mechanic’s lien coverage and other title insurance needs of parties to the transaction
- Setting up sale escrow accounts for timely disbursements upon closing
Title agency personnel can help homebuilders or developers establish ownership rights to property, ensuring local government that a project is worthy of proceeding. This can expedite plat approval. The title agency can also insure titles to individual lots in a development on a mass production basis, often at a reduced rate, so new owner’s policies can be promptly furnished to home buyers with a simple title update.
Additionally, a pre-existing title insurance policy on the land makes construction loan financing considerably more attractive to a buyer’s lender. Construction loans can free up homebuilders cash flow and provide more investment opportunity.
We take care of the details so that you and your clients can proceed to the closing table with confidence and self-assurance.