When buying a home in Missouri, the title report may be one of the most valuable documents a seller may receive. Received early in the process after reaching a deal with the seller, a buyer should read this thoroughly. Redfin explains that there is a specific window in which a buyer may question the contents of this report or cancel the purchase agreement based upon the title report information.
According to Zillow, the title report detail the exact boundaries of a home in dimensions and direction. It will also call out any easements or encroachments. The former provides others access onto a property. The latter is something from an adjacent property that crosses the property line. A title report will also give details about any homeowner’s association rules and regulations and let a buyer know what type of access they have to the common areas and what guidelines they will be required to follow if they purchase the property.
Information about property taxes will be provided and the report will indicate if there is an outstanding balance on these. If so, this will need to be paid before a sale can be completed. If a mortgage is held, this too will show on the title report. Any second or third mortgages associated with the property will be listed after the primary mortgage.
Properties with no easements, encroachments or other potential issues will be deemed clear and can quickly proceed to sale. Properties with these things may be listed as marketable which means they are legally able to be sold even though such things exist.