Protect Yourself from Deed Theft

Deed Theft

Is it possible to have your title or deed stolen? Can a stolen deed be used as collateral to get a loan? Could this strip all the equity from a home? Can this happen without the homeowner’s knowledge?

Those are concerning questions. And there’s a lot of misinformation in the media about this very topic. Let’s take a closer look at this issue.

What is deed theft?

Deed theft occurs when someone takes the title to someone’s home. It occurs without the homeowner’s knowledge or approval.

Two of the most common ways scammers steal deeds are:

Forgery, where the scammer fakes the homeowner’s signature on a deed and files it with the county clerk.

Fraud, where the homeowner signs the deed over to the scammer. They do this without realizing what they are really signing. You might wonder why someone would do this? Keep reading.

How to Protect Your Home

Tips for all homeowners:

Beware of guarantees or promises. Don't trust a company or individual that “guarantees” or “promises” a certain outcome.

Legitimate organizations and individuals can only promise to work hard for you. They cannot guarantee results.  This is especially true if you are promised a certain outcome from the transaction.

Avoid paying upfront fees. It’s almost always illegal to ask for upfront fees for a loan modification. If you’re asked to pay for services upfront, be suspicious.

Never transfer ownership of your property. Never turn over your deed or transfer ownership of your home to any company. A trustworthy organization or individual will not ask you to transfer your deed to them.

Always buy title insurance when purchasing real estate. Title insurance provides the insured and their heirs protection against fraud. This insurance covers fraud that happened before the house was purchased.  Title insurance companies examine the chain of title for any irregularities. They track the county records to find this information. Title insurance is the best way for homebuyers to protect their investment.

You can also choose to track your deed records held with the county. If you find suspicious activity, notify law enforcement.

If a forged deed is recorded in the county, the homeowner still owns their home. Even if a scammer takes out a loan secured by the property, the homeowner is not the victim. The lender is the victim in this scenario. Since the scammer did not own the property, the lender has no legal claim. If the scammer fails to repay the loan, the lender cannot foreclose on the property.

Lenders protect themselves by requiring the borrower to buy lender’s insurance. This is completed as part of the closing process. When lenders suffer a loss due to a forgery, they file a claim under their policy.

As you can see, it’s necessary to take several steps to protect oneself from fraudulent activity. Prairie Land Title specializes in protecting its clients from this type of activity. We are here to ensure that your home closing goes as smoothly as possible.

If you have questions or concerns about your deed or deed theft, please give us a call. We are here to serve you.

Money Mules

Have you heard of the term, money mules? Are you aware of the dangers and risks associated with being a money mule?

This is a very concerning trend in the financial markets today. It’s important to be aware of this trend so that you can protect yourself, your loved ones, and your friends.

A money mule is an individual that transfers money on behalf of another. They are requested by suspected criminals to launder money made through illegal activities.

Money mules are promised easy money for their participation in moving funds. Here are a few of the ways money mules are asked to move money:

• Cryptocurrency
  
  

• Cash
  
  

• Bank transfers (wire, ACH, EFT)
  
  

• Money service businesses
  
  

• Prepaid cards, gift cards
  
  

How are money mules recruited? Unfortunately, it’s rather easy to get recruited to be a money mule. Here are a few ways that this can happen:

• Through unsolicited emails or other types of communication. The suspected criminal will email you and request that you open a bank account. They may also request that you open a cryptocurrency wallet, or even open a new business in your name.
  
  

• Romance/confidence scams. Beware of a romantic partner that asks you to handle money for them.
  
  

• Employment scams offering easy money
  
  

• Non-payment/non-delivery scams
  
  

• Lottery scams where personal information is collected.
  
  

Who is at risk? Anyone can be recruited to be a money mule. Targeted individuals are often the elderly, college students, and recent immigrants. No special skills are required. The money mule will receive specific instructions from the suspected criminal.

Who investigates these types of crimes? The FBI investigates money handling crimes. There has been a steady increase in this type of illegal activity since 2020. It’s thought that the COVID 19 quarantine restrictions played a part in the rise. More people were out of work and looking for quick income.

Money mules are instructed to provide their personal information to the suspected criminal. This information will be used to open fraudulent accounts. These accounts are then used to support fraudulent activities in the future.

The consequences of being a money mule are significant. They can have their identity stolen and open themselves to personal liability. They can have their credit scores negatively affected. And it can limit their ability to open bank accounts or secure lines of credit in the future. The families of money mules are also at risk. The suspected criminal may threaten the safety of those families. This may occur if the money mules try to stop working for the suspected criminal.

It’s also important to note that money mules can face serious consequences if caught. They may serve time in prison, fines, or be required to do community service. Here’s a list of the federal charges that can be filed against a money mule:

• Mail fraud
  
  

• Wire fraud
  
  

• Bank fraud
  
  

• Money laundering
  
  

• Transactional money laundering
  
  

• Prohibition of unlicensed money transaction business
  
  

•  Aggravated money theft
  
  

How can you protect yourself or your loved ones? Remember this. If it sounds too good to be true, walk away!

Here are a few other tips to consider:

• Do not accept job offers that ask you to receive company funds to your bank account
  
  

• Be suspicious of a romantic partner that asks you to receive or transfer funds to your account
  
  

• Do not provide your financial details to anyone. This includes bank account information, logins, and passwords.
  
  

• Do not provide copies of your identification documents to anyone. This includes your driver’s license or social security number.
  
  

• Reach out to your bank if you have any questions about your accounts. If something doesn't look right, look into it.
  
  

• Contact your attorney if you have any other questions.
  
  

If you suspect that you are being targeted as a money mule, do the following:

• Stop communicating with the suspected criminal
  
  

• Stop transferring funds or items of value
  
  

• Keep all communication documents and receipts for law enforcement
  
  

• Notify your bank or financial institution of the suspected activity
  
  

• Notify law enforcement
  
  

Always be cautious with money matters. It’s rather easy to get caught in fraudulent activity if you are not paying attention. A suspected criminal can prey on your good nature and take advantage of you. Stay smart. Stay safe. 

Don’t hesitate to Prairie Land Title if you have any questions about this or any other topic. If we are not the right source to answer your question, we will connect you with someone who can help. We are here to serve you. Providing vital information is a key part of the service we are here to provide.

Mortgage Rates on the Rise

The real estate market has been volatile over the past few years. Home loan interest rates reached record-breaking lows.  Many homes sales occurred but new listings weren't keeping up with home buyer demands. It was the perfect storm of chaos. Things are begging to settle down and here are the changes you can expect to see in the market.

Mortgage rates are on the rise. We saw this trend begin late in 2021. You might be wondering why this is happening.  Here's a brief explanation.

Mortgage rates increase for several reasons. The strength of the economy is the primary reason. More people are employed now since the start of the pandemic. The economy is recovering and that’s a good thing.

Inflation is another concern. When costs go up, the Federal Reserve limits the amount of money flowing into the economy.  They also increase costs to the bank, which makes it more expensive to borrow money. That expense is passed to consumers through higher interest rates. It’s a complicated process easily affected by many more factors. What we know today is that interest rates are on the upswing.

But what does that mean for you as a home seller or a home buyer? Let’s take a closer look at both sides of the real estate transaction.

If you’re a seller, what should you be aware of?

It’s still a seller’s market even with rising interest rates. There is still a housing shortage and that is very impactful on the market. It’s a great time to sell for this fact alone. With fewer homes available in the market, there is less competition for your home. Homes are selling very quickly. Many homes under contract are receiving offers within two weeks or less. The condition of the home is very important. The better the condition, the quicker the offer.

But, as interest rates rise, financing for some buyers may be challenging. Some deals may fall through if financing isn’t secured. With plenty of buyers, sellers may find another buyer quickly. Also, consider negotiating with the buyer to complete the sale. You may need to reevaluate your asking price as well.

Overall, it’s an excellent time to list your home. Be prepared to negotiate if needed.

If you’re the buyer, what do you need to know?

The housing shortage continues to make the market competitive. Some buyers may be reluctant to list their homes now. They may be concerned about financing their next property. Expect home prices to drop, this is already happening in some markets. This could work favorably for you to buy your dream home.

Although home prices may become affordable, financing your dream home may be challenging. Expect to see interest rates continue to rise throughout the year. If you are planning to buy, this is the time to make that move.

Overall, it’s an excellent time to buy your next home. Be prepared to see rising interest rates continue.

Remember to reach out to us if you have any questions. We’re here to help you with your real estate transaction needs.

A look back on the last two years...

As we think about the season ahead, it’s good to reflect on the real estate market over the past two years. We’ve seen some surprising trends and quite a wild ride for the market! Very favorable interest rates drove house sales over the past few years. Sky-high home prices added an interesting twist too. And COVID-19 also affected the sales market. As the country began to open again, people had a new idea about what was their ideal house. Working from home and the desire for more living space was a new need. Moving to a less expensive area was another consideration. I’m sure that you’ve also seen surprising or unexpected situations too.

I thought it might be interesting to look at some information about housing records that were set in 2021. Here are a few facts from Money magazine.

1.  Fixed 30-year mortgage rates hit a record low.

On January 7, 2021, the 30-year fixed-rate mortgage dropped to an all-time low of 2.65%. Before the pandemic, the all-time low was 3.31%, which was set in 2012. According to Freddie Mac, 30-year fixed-rate mortgage averages moved to 4.67% as of 3/31/2022. The trend is expected to continue.

1.  Home inventories started low and didn’t improve

January 2021 started with a record low of 1.04 million homes for sale. The month before the number of available homes was at 1.07 million. Houses were selling but houses were not listed quickly enough to close the gap. This was also a time when the COVID-19 pandemic was escalating. Home inventory slowly improved through the year. By the end of 2021, around 1.1 million homes were for sale. Still less than a healthy market but improving. 

1.  Home sale prices went through the roof

By October of 2021, home prices reached a new high. Sellers asked for high sale prices and were often able to get their price or more due to the housing shortage. Home sale prices are beginning to drop as more homes are listed.

1.  Higher prices = bigger loans

Average home loan amounts for the country reached an all-time high of $418,00 in 2021. Nationally, home loans were on track to reach $1.6 trillion by the end of 2021. The previous national record was set in 2005 and was $1.51 trillion. By the end of December 2021, the average loan amount had dropped to $416,200.

1.  Homes sold very quickly

Homes were selling quickly early in 2021. In April 2021, 46% of homes for sale had an accepted offer within one week. Most homes had an accepted offer within two weeks of listing! As the market started to cool near the end of 2021, 42% of homes under contract had an offer accepted in two weeks. 36% of homes had an accepted offer in one week.

1.  Rent continues to rise

As other expenses have increased, so has the cost of renting housing. Rental housing rates have increased by an average of 19.7% from November 2020 to the same time in 2021. This means that renters are paying an average of $291 more per month than they were a year ago.

1.  Foreign investors

The US housing market felt the effect of the pandemic in another way as well. Travel restrictions limited the number of foreign investors purchasing homes in the US. Foreign investors purchased a total of 107,000 homes and spent $54.4 billion in real estate purchases. This is the lowest since 2011.

According to recent reports, the real estate market is settling down. Hopefully, we will see more home listings as the year progresses. And hopefully, the interest rates will remain low to help our home buyers.

We’re here to help you in any way we can. Don’t hesitate to give us a call!

Title Services Explained

Whether you’re a licensed realtor or researching the industry, the work of a title company can be a lot to remember. At Prairie Land Title Company, we want to make it less confusing! 

Title Companies offer services to assist agents and clients through the transaction process. These services include title commitments, insurance, and title examinations. We also do settlement services, construction escrow administration, document recording, and condo conversion.

Let’s look at each of these services and see what they entail.

Title commitments:

A title commitment is also known as a title binder. This refers to the promise of a title company to issue an insurance policy for a property after closing.

Title insurance:

Title insurance is a form of indemnity insurance. This type of insurance protects lenders and homebuyers from financial loss. These unexpected losses are a result from a defect in a title to a property.

-The most common type of title insurance is lender’s title insurance. This insurance is what the borrower purchases to protect the lender.

- The other type of title insurance is owner’s title insurance. This is often paid for by the seller to protect the buyer’s equity in the property.

Title examinations:

A title examination is a close look at all public records that affect the title to the property. It involves reviewing past deeds, wills, and trusts. The goal is to make sure the clean title has passed to each new legal owner. The examiner verifies that any past mortgages, judgments, and liens are paid in full.

Closing and settlement services:

Closing and settlement services are the administrative and clerical services. These services carry out the terms of contracts affecting real estate. This includes a variety of services to ensure that the transactions are complete.

Construction escrow administration:

These are services needed when a lender is financing a construction project. Funds for the project get deposited with the title company. The title company oversees the payment of funds to contractors and material suppliers. Using a title company ensures that no mechanic’s liens on the real estate because of work performed. Contractors must submit a request for payment. The title company verifies that there are enough funds to meet those obligations. This service protects both the lender and owner during the construction project.

Document recording:

The title company is the intermediary for all parties during a house sale. They record all necessary legal documents to complete the sale of the home. Completing all work on today’s sale ensures that the next owner will not be stuck with title issues in the future.

Condo conversion:

A condominium conversion changes a rental property to a condominium form of ownership. The title company confirms there are no liens and legal ownership of the property. It’s the first step in the conversion process.

If you have any questions about how we can help you or your clients, please give us a call. We are here to help you every step of the way!

Title Insurance: Facts and Clarity

Purchasing a home or property is a huge investment. Many of us save for years and work at building our credit to afford the transaction. After it’s all said and done, we hope to live in our new home and don’t think twice about what happened to the property before we lived there. How do we know what we are buying is actually what the seller is telling us? Who is looking out for our best interests during the transaction? How are we protected during the purchase? It begins with title insurance at Prairie Land Title Company.

When a property is bought or sold, a record of that transaction gets filed in public archives. The documents include other events that may affect the ownership of a property, such as liens or levies.

Can you imagine living in your new home and having the seller’s distant cousin show up at your door staking claim to your property? Or getting an unpaid tax bill in the mail for the property - only to find out you are responsible for paying it? Imagine this all happening ten years into owning the home. What a nightmare! 

Those situations may sound like something from a movie, but they are real situations! Have no fear. At Prairie Land Title Company, we’ve got your back. Title insurance protects you from problems with an ownership title when you buy real estate. These may be problems that existed before the purchase. Unpaid property taxes, fraud or forgery, and a spouse or unknown heir who claims they own the property are a few examples.

When you buy title insurance for your property, we search these records to find any types of ownership issues. First, we search public records to determine the property’s ownership status. After this search, the underwriter will determine the insurability of the title.

Keep in mind, even the most skilled title professionals may not find all problems associated with a property. A few risks you can run into are filing errors, forgeries, undisclosed heirs. Once we finish our search, we provide a title insurance policy to help protect you from various issues that may be uncovered later.

Here are some facts about title insurance:

• Most people confuse this with homeowners insurance! A title policy doesn’t protect you against physical damages to the property.

• Title insurance protects your ownership of the property. It protects from any previous debts or other claims of ownership prior to you owning the property. 

• You pay the premium one time when you close on the sale.

• There are two kinds of title policies:

Owners Policy: Protects the homeowner; it’s good for as long as you or your heirs own the property

Loan Policy: Protects the right of the lender. It’s good until the loan is paid off.

• The policy is standard.

• The rates are set.

• Title companies are independent. They don’t represent the buyer or the seller in the real estate transaction. Your real estate agent may recommend you to a title company they trust. 

Keep in mind, when you purchase real estate, it is a significant financial investment. However, title insurance is a way to have peace of mind!

Email Safety: Keep your client's data safe

Keeping your client’s information and your personal information is even more important. Each season, cybercriminals find more ways to gain access to the data we both share during a real estate transaction. It’s unfortunate but we need to be careful with personal information, email, and internet use. Let’s review a few terms to get started.

· Social Engineers work to convince people to provide the information they need to gain access to your computer and personal information. Social Engineers pose as reputable individuals, including IT support, sales representatives, and employees as examples.

· Phishing is a form of social engineering in which the attackers attempt to get user information, such as passwords and social security numbers, by sending emails that appear to be legitimate.

 · Spam refers to unsolicited email, which is often sent by cybercriminals. To limit spam, only share your email address with people and businesses you know and trust.

There are things that you can do to protect yourself and your information. 

· Never share your Login ID or Password with anyone!

· Never send sensitive information by text or email. Don’t reply to texts or emails asking for personal information. Prairie Land Title employees will never ask for clients’ personal information via text or email! When in doubt, give us a call!

· Do not click on links in emails unless you are certain that the email is from a source you know and trust.

· Sensitive information should only be provided on Secure Websites. A secure website will display “https” rather than “http” in its website address.

Remember that we at Prairie Land Trust are here to provide you with the safest transactions possible. Be sure to follow the directions that you receive from our office before wiring any funds or providing us with any sensitive information. Protecting your identity and financial resources is very important to us. Don’t hesitate to reach out with your questions. We’re here to help!

20 Reasons Why You Need Title Insurance

 Title insurance protects you from potential problems with an ownership title once you buy real estate. It’s our job to resolve any issues before closing to protect the buyer’s interest in the real estate purchase. Here are 20 important reasons why you need owner’s title insurance: 

1. Forgery

2. Fraud in the execution of documents

3. Undue influence on a grantor of a deed

4. False impersonation by someone purporting

to be the owner of the property

5. Errors in surveys

6. Undisclosed or missing heirs

7. Wills not properly probated

8. Misinterpretation of wills and trusts

9. Mental incompetence of a grantor of a deed

10. Transfer of title by a minor

11. Heirs born after the execution of a will 

12. Incorrect legal descriptions

13. Non-delivery of deeds

14. Unsatisfied claims not shown on the record

15. Deeds executed under expired or false powers of attorney

16. Confusion due to similar or identical names

17. Dower or courtesy rights of spouses of former owners

18. Incorrect indexing of the land records

19. Clerical errors in recording legal documents

20. Delivery of deeds after the death of the guarantor

Our goal at Prairie Land Title is to ensure you are protected during and after the sale or purchase of a home. We can’t stress enough the importance of title insurance and how it can protect your future!

Celebrating Spring? Here’s a fun cocktail to add to your menu!

Celebrating Spring? Here’s a fun cocktail to add to your menu! Grapefruit is in season and a great way to add zest to a cocktail favorite.

Pink Grapefruit Whiskey Sours by Rachel Ray Everyday

Prep: 10 mins

Servings: 4

Ingredients

3 pink grapefruits

2tsp. plus 2 tbs. sugar (or more to taste)

1 cup whiskey

¾ cup fresh lemon juice

Directions

Step 1

Grate 1 tsp. zest from 1 grapefruit. On a small plate, mix the zest with 2 tsp. sugar. Halve the zested grapefruit. Slice 1 thin round from the center of the fruit; cut into quarters and reserve for garnish. Cut a small wedge from the remaining grapefruit and run it around the rim of 4 small glasses. Dip the rims in the grapefruit sugar.

Step 2

Squeeze 1 cup juice from the remaining grapefruit into a large glass measuring cup or pitcher. Add the whiskey, lemon juice, and the remaining 2 tbsp. sugar. Stir until the sugar dissolves, adding more sugar if desired. Fill the glasses with ice. Add the whiskey mixture and stir. Garnish with the grapefruit quarters.

We hope that you enjoyed those fun facts and don’t forget to give that recipe a try, in moderation of course! 

Remember that we are here to assist you with your home title needs. Don’t hesitate to reach out with any questions. We want to ensure a smooth transition for your next home purchase.

Some Spring Fun!

The temperatures are warming up and so is the real estate market! From late winter through mid-summer is the best time to buy or sell a house. Even though interest rates are slowly starting to rise, and home prices are expected to rise somewhat, the real estate market continues to look very good. Spring is a great time to get your home listed, so finish up those minor spruce-up projects now!

Here are a few fun facts about home care and the real estate market:

Have you ever wondered where the idea of spring cleaning came from? Several cultures complete spring cleaning as part of preparations for holidays such as the Chinese New Year of the Jewish Passover. Another reason that we spring clean may be due to simple biology. In the winter, when the days are shorter and we are exposed to less light, our bodies produce melatonin, making humans sleepy. In the spring when days are longer, less melatonin is produced, and we tend to have more energy to take care of things around the house. So, whether you’re getting ready to celebrate a holiday or are just ready to shake off the winter, it’s time to freshen up the house!

Speaking of sprucing up the house, it takes 570 gallons of paint to freshen up the White House and it is repainted every four to six years to keep it looking beautiful! President Teddy Roosevelt was the President that formally named the White House. Previous Presidents called it the Executive Residence, Executive Mansion, or the People’s House.

At one time it was customary for homeowners to put a cast iron eagle outside their home to celebrate the full payment of their mortgage. The presence of the eagle announced to the world that the house was owned free and clear and that the owner was free from mortgage payments!

If you’re shopping for a housewarming gift, think twice before choosing a knife for that gift! Superstition says that if you give a knife as a gift, you risk severing that friendship. The best way to give a knife as a housewarming gift is to tape a penny to the blade. This way, the recipient can take off the penny and hand it back to the giver. That way, they are “paying for the knife” and it’s no longer a gift. Clever solution!

Speaking of housewarming gifts, did you know that originally a housewarming came after the mortgage was paid. In the early days of home mortgages, the interest rates were quite high and the loan would be paid off with a balloon payment, like today’s down payment. This made paying off a mortgage a big event, and homeowners would celebrate with a party and burn their mortgage documents. Guests would bring gifts to help celebrate the home being owned free and clear, and this tradition evolved into what we now know as the housewarming party!

5 Things To Know About Title Insurance

Whether you are a first-time homebuyer or long-time property owner, you should be insuring your title. We all know this. By now, you may have done some research into insurance coverage for your property. After all, you keep hearing how important title insurance is. However, there are probably still a few things you have questions about in your search. More often than not, you keep coming back to the burning questions: just what is title insurance, and why do I need it? We at Prairie Land Title want to shed more light on title insurance and key things you should know about it.

Title insurance protects you from potential problems with an ownership title once you buy real estate. These may be problems that existed before the purchase. Unpaid property taxes, fraud or forgery, and a spouse or unknown heir who claims they own the property are a few examples.

1. Title Insurance helps ensure that Ownership Rights are protected. During the search and underwriting - defects, liens, and encumbrances - which the title company can detect could affect your ownership interest in the property. An Owner’s policy is often confused with a homeowner’s insurance policy. A homeowner’s insurance policy protects the owner from future occurrences such as fire, flood, accidents, etc. An Owner’s policy protects against events that have happened in the past that could impact who has rights to the land.

2. When a lender is loaning funds for the purchase, two different policies will be issued. When a loan is involved, the lender will require that a Lender’s policy be issued, which protects their lien against the property.

3. Prairie Land Title will try to resolve any issues before closing to protect the buyer’s interest in the real estate. We use the public records to find and cure, if possible, issues from the past that can affect the new owner’s interest in the property. Your Owner’s policy protects you if liens are not disclosed by the title examination that is not reported on your policy.

4. The Owner’s policy issued is a one-time fee. The premium is usually paid at closing by the seller. The new owner is covered under this policy as long as they or their heirs own the land. The Lender’s policy is only valid until the loan is completely paid off or refinanced. Regardless of the lender, if there is a new mortgage signed, then there will be a new Lender’s policy issued.

5. The seller typically chooses the title company. Title companies are independent in the sale of a property. Your real estate agent will be able to recommend a company that is trustworthy to you. Real estate agents do business with title companies throughout the year and will put you in touch with the best!

Our goal at Prairie Land Title is to ensure you are protected during and after the sale or purchase of a home. We can’t stress enough the importance of title insurance and how it can protect your future!

Illinois Tenancy 101

My husband and I are looking to buy a home in Central Illinois. When we met, he moved into the house I owned and we lived there for many years. What happens if one of us dies - will the other one automatically get the house? What is the best way to protect ourselves for the future?

Shopping for a new home can be a wild adventure on its own - there is so much to take into consideration as you look. You also want to consider the future protection of one of the largest assets you will own - especially if purchasing it involves a spouse

In Illinois, titles can be taken as Joint Tenants with the Right of Survivorship, Tenants in Common, or Tenants by the Entirety. We always recommend consulting an attorney about your specific situation. What we can offer you is a basic understanding of your choices. 

Joint Tenants with the Right of Survivorship

This is the most common way to take a tenancy. Each person owns a share. If one person dies, the title transfers to the survivor without the need for probate. 

Tenants in Common

This is where each person owns a share of the property. It can be a full 50%-50% split, or it can be something like 25%-75%. If one person dies, the decedent’s interest passes to their heirs. The estate will either have to be probated to name an Executor or all heirs will have to deed it out. 

Tenants by the Entirety

This is like Joint Tenancy. It provides more protection to a married couple. It has all the benefits of joint tenancy. In the event of death, the surviving spouse takes the title. Tenants by the Entirety also includes the extra benefit of protecting the property from creditors. In a situation of debt - the property may not be partitioned, sold, or encumbered without the permission of both spouses. Neither spouse may convey their half interest without the consent of the other. In Illinois, if the couple divorces, the property will be considered tenants in common.

 
Due to the extra protection, Tenants by the Entirety has specific requirements. To take the title as Tenants by Entirety, you must be a married couple. The property on the title must be your primary personal residence. Both parties must agree if the tenancy is changed at a later date. Finally, the deed is worded in a way to state the owners are married, not tenants in common or as joint tenants but as tenants by the entirety.

Families and partnerships change over time. Consulting an attorney about tenancy will keep you protected against all eventualities. That may seem like an extra step during the home buying process, but protecting your future is most important.

Steps in the Title Process

You've spent quite a bit of time building up your credit and saving to buy a home. Your dream home. Owning your dream home is something you've worked hard and made sacrifices to achieve. Buying a home is such a huge transaction, you've found a trustworthy real estate agent to help. The agent has explained the transaction process involves a title company. But what happens during that process? As a buyer - what happens to be sure your purchase is successful? It's important to know that a title company operates independently in a real estate transaction. 

Here are eight steps a title company takes to ensure your transaction is a success:

Steps in the Title Process

Initial Request Submitted

Your agent submits the contract on your behalf and the initial order to get our process started. 

Preliminary Report is Built

A researcher on our team begins to research the history of the real estate title. They collect information about any previous ownership, liens, encumbrances, etc. This initial research includes documents filed with the Recorder of Deeds, Circuit Court, County Assessor, and Collector of Revenue. The researcher compiles a preliminary report.

Technical review

The preliminary report gets reviewed, and the research continues! A more technical analysis begins of the documents on record for the property. Interpretation of all recorded matters helps check their impact on the title to the property. This analysis reveals anything that could affect your ownership rights.

Preparation for Title Insurance Commitment

The chain of the title gets reviewed to prepare a Title Insurance Commitment. The Title Insurance Commitment will show the current ownership and legal description of the property. It will also show anything that is an exception to the title insurance coverage. The Title Commitment gets prepared and distributed to all parties. 

Processing

The closing processor receives the title commitment. The processor begins gathering and organizing information for the closing. 

Prep for Closing

Our Closing Agent reviews the contract. Then, the agent processes the package, the title commitment, and closing instructions. This process helps to prepare for settlement and closing. Congratulations, you've made it to closing! 

Document submission 

After closing, the work continues! The recording clerk sends the appropriate documents to the Recorder of Deeds office. After they get sent to the recorder, they are recorded in the county records, and then the deed is mailed to you. 

Policy Prep

The Policy Examiner prepares the title insurance policy according to the closing instructions. 

A title company's work will ensure that no issues crop up with you owning the home down the road. You can rest easy knowing that your dream property is now yours and protected!