Quick Answer
Real estate agents should review the title commitment for ownership accuracy, legal description matching, existing mortgages, liens, judgments, easements, restrictions, probate or trust issues, unusual requirements, and anything affecting the closing timeline or the client's intended use of the property.
As a real estate agent, reviewing the title commitment is one of the most important things you can do for your clients. You do not need to be a title expert, but you should know what to look for and when to ask questions.
1. Seller Matches Ownership
Check that the current vested owner on Schedule A matches the seller in your purchase contract. If there is a discrepancy, ask the title company to explain.
2. Legal Description Matches
Confirm that the legal description on the commitment matches the property in the contract. Review what the legal description tells you if you need a refresher.
3. Existing Mortgages
Review what mortgages or deeds of trust are shown. Compare to what you know about the seller's financing. If an old mortgage appears, it may be an old mortgage still showing on title that needs a release.
4. Liens and Judgments
Look for tax liens, judgment liens, or other liens against the seller or the property. These typically need to be resolved before closing.
5. Probate and Estate Issues
If the seller is an estate or a trust, or if the title shows a deceased owner, probate documents or trust documents may be required. Read why someone else's name may show on the title report for common scenarios.
6. Trusts and Entities
If the seller is a trust or business entity, verify that the person signing has proper authority. Entity documents may be required as a condition of closing.
7. Easements and Restrictions Affecting Use
Review exceptions for easements and restrictive covenants. Consider whether any of these could affect what your buyer plans to do with the property.
8. Requirements
Review all requirements on Schedule B. Make sure you understand who is responsible for satisfying each one. For an explanation, read What Are Title Requirements?
9. Exceptions
Review all exceptions and consider whether any are unusual or concerning. Learn more about title exceptions to understand what they mean.
10. Effective Date
Check the effective date and ask whether an update will be needed before closing. See What Is an Effective Date on a Title Commitment?
Agent Communication Matters
When you spot a potential issue, communicate it to your client in terms they can understand. Do not ignore items you do not understand. Ask the title company for clarification. Clear communication about title issues builds trust and prevents surprises at closing.
For additional context, see How to Read a Title Commitment and Understanding Schedule A of a Title Commitment.
Key Takeaway
A systematic review of the title commitment helps you serve your clients and avoid unpleasant surprises. Use this checklist as a starting point, and always ask the title company about anything you do not understand.
FAQs
Should I review the title commitment before sending it to my buyer?
Yes. Reviewing the commitment before sending it to your buyer helps you identify issues early and provide context when you share it. You can flag items that need attention and explain what they mean.
What if I see something on the commitment I do not recognize?
Ask the title company. They can explain what the item is and whether it needs to be addressed. It is always better to ask than to assume.