“A buyer should make sure when communicating with their lender that they are also communicating with the title company throughout the closing process.” In the closing process, there is nothing the lender should provide the buyer in the title insurance aspect,” Tacher says. “It is normally the title company’s responsibility to send a copy to the buyer and/or lender prior to closing. The title company will mail you your own copy when the title commitment is complete. Once you’ve chosen a property, your realtor will order a title commitment. This document benefits the buyer so as long as they review it and understand its contents.” As well as any exceptions that would not be covered by the final title insurance policy. Kevin Tacher, Florida title agent and CEO of Independence Title, Inc., says, “A title commitment is a preliminary insurance binder that outlines the requirements needed to issue a clear and marketable title. In short, a title commitment is a promise from the title company to issue a title insurance policy for your new home after closing. But in all states, a title commitment indicates that a property title is free and clear of defects and that title insurance can be obtained for it. What this means can vary from state to state. Your title commitment - which may also be referred to as your titlework or title binder - is a long document that will guarantee you title rights to your new property when all is said and done. But when you look past the fine print, the purpose of one of the most important mortgage documents you’re going to sign is quite simple. Most people sail through homebuying with their eyes wide shut because, well, those mountains of paperwork can get overwhelming.

What is a title insurance binder