Here are some possible problems and what to do about them:How to Use 1 Day Codes
You can use the following instructions to open the key compartment of a lockbox with a 1 day code.How to Get Help
You can obtain free support from SentriLock in one of the following ways:
If you're having trouble with a lockbox or your computer, please contact SentriLock Support when you have the lockbox or computer available. SentriLock Support is available daily from 8:00am - 8:00pm Eastern Time, except holidays.
You can send e-mail to SentriLock support: support@sentrilock.com
If you prefer to contact SentriLock support via the telephone, call our toll free number: 1-877-736-8745.
Thursday, January 15, 2009
How to use one day codes for SentriLock (For Realtors)
Monday, December 8, 2008
WHAT IS TITLE INSURANCE?
Title insurance is actually a process, with the insurance policy being the end product. This process starts with a comprehensive search of public records to determine if any liens or other encumbrances are attached to the title. During the search, detailed information from potentially hundreds of sources is gathered and reviewed, including tax records, federal, state and local records, court judgments, deeds and an evaluation of whether the property characteristics are accurately reflected by the information on the title. Not surprisingly, one in four title searches uncovers some problem that must be rectified prior to the close.
What kind of problems? There are four primary categories that can cloud a title and result in significant risk for a prospective homebuyer. The title search meticulously seeks out and evaluates any known indication of any of these issues; however, even the most comprehensive search may not uncover every hidden area of title risk:
• Liens can be placed against a title by any party with an unpaid financial obligation against the property owner. The nature of these claims can be everything from unpaid child support or alimony to unpaid parking tickets, taxes or bills from contractors like electricians or plumbers.
• Errors may have occurred during the course of previous ownership changes that could have included recording errors, typographical errors, incorrect legal descriptions, incorrect indexing of land records or title search errors resulting from undisclosed issues like unsatisfied claims not shown in the public record.
• Claims against a property may come from missing heirs or heirs born after the execution of a will, the dower or courtesy rights of spouses of former owners, claims from ex-spouses or even from government or corporate entities. They can also arise when the mental competence of a grantor of deed is called into question; when wills are not properly probated or are misinterpreted; when a title was transferred by a minor; or when a grantor of a deed did so while under undue influence.
• Fraudulent activity such as forged signatures or fraud in the execution of documents, the use of false powers of attorney in the execution of documents, false impersonation by someone claiming to be the owner of the property or any other fraudulent activity can invalidate any title work that occurred from that point on. Prospective buyers should be certain they know what issues affect the title of the property they plan to buy and recognize that even new construction properties can be subject to these same kinds of problems. Buyers should make sure that all issues that come to light from the title search, are adequately resolved prior to the closing.
WHY TITLE INSURANCE?
A GUIDE TO UNDERSTANDING THE NEED AND THE VALUE
It is vitally important prospective homebuyers to thoroughly understand the process of purchasing a home and the potential risks associated with the property’s title. Most people don’t realize that the current owners of their prospective home - and their family and heirs — have extremely strong rights associated with the property. In addition, third parties may have liens against the title anything from unpaid child support to outstanding parking tickets! In fact, it takes very little effort to place a lien on a property, but it can take a great deal of time and money to have it removed.
What does title insurance cover? Once the title search has been concluded and curative work to resolve any issues has been completed, title insurance can then be issued. The title insurance policy protects policy owners against covered financial losses associated with claims against the title that were not discovered during the title search process. It also insures against the title being rejected by the subsequent buyer of your property, due to pre-existing title defects and covers losses that may arise after the property is sold if title covenants were included in the sales contract. This includes attorney fees and costs associated with defending the title, and insures that the policy holder is the legal owner and has access to the property. Since the final title insurance policy may have some coverage exceptions (such as conditions, utility and other easements or set-back requirements), policy owners must carefully read the coverage information their specific policy provisions.
Who is covered by title insurance? There are two different kinds of title insurance policies, and each covers a specific type of policy owner:
• Lenders (or Loan) title policies are required by lenders and paid by the borrower(s) at the closing. However, these policies only protect the lending institution in the event a title problem is later uncovered and causes a financial loss. Lender title insurance covers institutions up to the amount of the mortgage loan associated with the property, but makes no provision the borrower’s losses.
• Owners title policies are not required homebuyers, and in many jurisdictions an Owner’s policy is not offered during the mortgage process. As a result, homebuyers are left without title risk coverage and often don’t know they had a choice. Without an Owner’s policy, homebuyers must pay title curative work out-of-pocket and the equity they have in their property can be at risk. However, with an Owner’s title insurance policy in effect, the homeowner’s investment is fully protected since the policy usually covers buyers up to the full price.
Lender’s title policies and Owner’s title policies cover many of the same things. In both cases, the policy holders are protected from title risks such as title search errors, claims by missing heirs or ex-spouses, forged signatures in the chain of title and many other title problems that could go undetected before the close. Attorney fees and settlement costs are also covered up to the policy’s limit.
What does title Insurance cost? Many states set the rates title insurance and major lenders may be able to secure volume-based rates their borrowers. Homebuyers should always feel free to shop policy coverage and rates before making their final choice. Unlike other types of insurances that require ongoing payments, title insurance covers things that happened in the past (prior to the closing) that could affect the status of the property’s title. There is a one time cost title insurance at the time of the closing and the policy is good as long as homebuyers or their heirs own the property.
How Is title Insurance regulated? Each state has a department of insurance that generally regulates all forms of insurance, including title insurance. These governmental bodies are responsible establishing and enforcing regulations insurance sold in their respective states.
A TIME-TESTED PROFESSION Unlike many countries around the world, the United States has a time-tested, extensive system of maintaining public land records that gives property owners an unmatched level of confidence in their ownership status. But the system only works because of the extensive research and corrective actions that are taken to maintain the integrity of property titles. Homebuyers should ask about the title insurance options available to them and feel free to discuss the provisions and exceptions of any title insurance coverage they might be considering. Whatever they ultimately decide about title insurance, it should always be an informed choice.
It is vitally important prospective homebuyers to thoroughly understand the process of purchasing a home and the potential risks associated with the property’s title. Most people don’t realize that the current owners of their prospective home - and their family and heirs — have extremely strong rights associated with the property. In addition, third parties may have liens against the title anything from unpaid child support to outstanding parking tickets! In fact, it takes very little effort to place a lien on a property, but it can take a great deal of time and money to have it removed.
What does title insurance cover? Once the title search has been concluded and curative work to resolve any issues has been completed, title insurance can then be issued. The title insurance policy protects policy owners against covered financial losses associated with claims against the title that were not discovered during the title search process. It also insures against the title being rejected by the subsequent buyer of your property, due to pre-existing title defects and covers losses that may arise after the property is sold if title covenants were included in the sales contract. This includes attorney fees and costs associated with defending the title, and insures that the policy holder is the legal owner and has access to the property. Since the final title insurance policy may have some coverage exceptions (such as conditions, utility and other easements or set-back requirements), policy owners must carefully read the coverage information their specific policy provisions.
Who is covered by title insurance? There are two different kinds of title insurance policies, and each covers a specific type of policy owner:
• Lenders (or Loan) title policies are required by lenders and paid by the borrower(s) at the closing. However, these policies only protect the lending institution in the event a title problem is later uncovered and causes a financial loss. Lender title insurance covers institutions up to the amount of the mortgage loan associated with the property, but makes no provision the borrower’s losses.
• Owners title policies are not required homebuyers, and in many jurisdictions an Owner’s policy is not offered during the mortgage process. As a result, homebuyers are left without title risk coverage and often don’t know they had a choice. Without an Owner’s policy, homebuyers must pay title curative work out-of-pocket and the equity they have in their property can be at risk. However, with an Owner’s title insurance policy in effect, the homeowner’s investment is fully protected since the policy usually covers buyers up to the full price.
Lender’s title policies and Owner’s title policies cover many of the same things. In both cases, the policy holders are protected from title risks such as title search errors, claims by missing heirs or ex-spouses, forged signatures in the chain of title and many other title problems that could go undetected before the close. Attorney fees and settlement costs are also covered up to the policy’s limit.
What does title Insurance cost? Many states set the rates title insurance and major lenders may be able to secure volume-based rates their borrowers. Homebuyers should always feel free to shop policy coverage and rates before making their final choice. Unlike other types of insurances that require ongoing payments, title insurance covers things that happened in the past (prior to the closing) that could affect the status of the property’s title. There is a one time cost title insurance at the time of the closing and the policy is good as long as homebuyers or their heirs own the property.
How Is title Insurance regulated? Each state has a department of insurance that generally regulates all forms of insurance, including title insurance. These governmental bodies are responsible establishing and enforcing regulations insurance sold in their respective states.
A TIME-TESTED PROFESSION Unlike many countries around the world, the United States has a time-tested, extensive system of maintaining public land records that gives property owners an unmatched level of confidence in their ownership status. But the system only works because of the extensive research and corrective actions that are taken to maintain the integrity of property titles. Homebuyers should ask about the title insurance options available to them and feel free to discuss the provisions and exceptions of any title insurance coverage they might be considering. Whatever they ultimately decide about title insurance, it should always be an informed choice.
What's in a Title Search?
You’ve decided to purchase a home and hope to take possession as soon as possible. The terms have been agreed upon and all the financial arrangements have been made. But there’s one important detail remaining. Before the transaction can close, a title search must be made.
The most accurate description of title is a bundle of rights in real property A title search is the process of determining from the public record just what these rights are and who owns them.
A title search is a means of determining that the person who is selling the property really has the right to sell it and that the buyer is getting all the rights to the property (title) that he or she is paying for.
The search process can be undertaken by the title company in those jurisdictions where the company maintains offices. In some areas however searches are made only by practicing attorneys. However the search is performed in most real estate transactions today a title insurance policy is purchased to assure the buyer that he or she has purchased a valid title.
In those transactions where title insurance is involved, the title company must determine insurability of the title as part of the search process. This leads to the issuance of a title policy which insures the existence or non existence of rights to the property.
The title insurance company will at its own expense defend the title and will pay losses within the coverage of the policy if they occur.
But what, exactly, is involved in a title search? The Title Insurance Company provides the following step-by-step review:
CHAIN OF TITLE
This is simply a history of the ownership of a particular piece of property, telling who bought it and sold it, and when. The information may be derived from public records — usually a County Clerk’s or Recorder’s Office — or obtained from title plants privately owned and maintained by title companies. There are great varieties of such plants — index cards, punch cards, tract books, even sophisticated computerized plants. However, they all contain essentially the same information from which the history of the title may be secured.
This is simply a history of the ownership of a particular piece of property, telling who bought it and sold it, and when. The information may be derived from public records — usually a County Clerk’s or Recorder’s Office — or obtained from title plants privately owned and maintained by title companies. There are great varieties of such plants — index cards, punch cards, tract books, even sophisticated computerized plants. However, they all contain essentially the same information from which the history of the title may be secured.
TAX SEARCH
This is a search to determine the present status of general real estate taxes against the property. The tax search will reveal if taxes are current or whether any taxes are past due and unpaid from previous years. In addition, the tax search will indicate the existence of any special assessments against the land and, if so, whether or not these assessments are current or past due. A due and unpaid tax or special assessment is a prior lien or claim on the property above all others. If a buyer purchases property with unpaid and past due taxes or assessments against it, he or she is likely to find a government body the village, county or state — placing the property up for sale to pay those taxes or assessments. A tax search reveals the status of the taxes. Title insurance protects the buyer against loss from unpaid and past due taxes and assessments.
This is a search to determine the present status of general real estate taxes against the property. The tax search will reveal if taxes are current or whether any taxes are past due and unpaid from previous years. In addition, the tax search will indicate the existence of any special assessments against the land and, if so, whether or not these assessments are current or past due. A due and unpaid tax or special assessment is a prior lien or claim on the property above all others. If a buyer purchases property with unpaid and past due taxes or assessments against it, he or she is likely to find a government body the village, county or state — placing the property up for sale to pay those taxes or assessments. A tax search reveals the status of the taxes. Title insurance protects the buyer against loss from unpaid and past due taxes and assessments.
REPORT ON POSSESSION
In many places where it operates, a Title Insurance Company sends inspectors to look at the property to verify the lot size, check the location of improvements, look for evidence of easements that are not shown of record, and check on who is living there. The purpose of this is to supplement the information learned from the title search. In the eyes of the law, any buyer of real estate is assumed to have notice of all matters properly shown in the public records as to that real estate as well as any information that an actual inspection may reveal. If the inspector detects an unrecorded easement or other evidence of outstanding rights that could affect the owner’s title and possibly the value and intended use, the company tells the buyer of these things before he closes his purchase. Those matters must then either be disposed of or shown as exceptions in the title insurance policy. Sometimes when an acceptable survey and appropriate affidavits are received, an inspection will not be made.
In many places where it operates, a Title Insurance Company sends inspectors to look at the property to verify the lot size, check the location of improvements, look for evidence of easements that are not shown of record, and check on who is living there. The purpose of this is to supplement the information learned from the title search. In the eyes of the law, any buyer of real estate is assumed to have notice of all matters properly shown in the public records as to that real estate as well as any information that an actual inspection may reveal. If the inspector detects an unrecorded easement or other evidence of outstanding rights that could affect the owner’s title and possibly the value and intended use, the company tells the buyer of these things before he closes his purchase. Those matters must then either be disposed of or shown as exceptions in the title insurance policy. Sometimes when an acceptable survey and appropriate affidavits are received, an inspection will not be made.
JUDGMENT AND NAME SEARCH
One of the most important parts of the title search is to determine if there are any unsatisfied judgments against the seller or previous owners which were in existence while they owned the title. A judgment is a general lien against the debtor’s real estate and constitutes security for any money owed under the judgment. The real estate can be sold to satisfy the judgment. It is extremely important to be sure that a title is not subject to judgments against the seller or previous owners. Title insurance provides this protection. A judgment against a person named Smith may affect the title of a seller named Smith, depending on whether or not they are the same person. So all possible variations of the name must be examined. For example, the name Smith might be spelled Schmidt, Schmid, Schmidtt, Schmidz, Schmied, Schmiedt, Smid, Smythe, and so on. The name Nichols can be spelled 73 different ways, from Nachols to Nychals. The task is to determine which of these applies to the owner in question. First names have to be checked, too. There are 25 foreign forms of John, including Johann, Jehan, Hans, Shaun, Gudi, and Efom. Rights established by judgment decrees, un-paid federal income taxes, and mechanics’ liens all may be prior claims on the property, ahead of the buyer’s or lender’s rights. If a judgment is discovered that constitutes a defect in the title, it is pointed out, and the seller must then eliminate it before the title of the new buyer can be insured free and clear of that judgment.
One of the most important parts of the title search is to determine if there are any unsatisfied judgments against the seller or previous owners which were in existence while they owned the title. A judgment is a general lien against the debtor’s real estate and constitutes security for any money owed under the judgment. The real estate can be sold to satisfy the judgment. It is extremely important to be sure that a title is not subject to judgments against the seller or previous owners. Title insurance provides this protection. A judgment against a person named Smith may affect the title of a seller named Smith, depending on whether or not they are the same person. So all possible variations of the name must be examined. For example, the name Smith might be spelled Schmidt, Schmid, Schmidtt, Schmidz, Schmied, Schmiedt, Smid, Smythe, and so on. The name Nichols can be spelled 73 different ways, from Nachols to Nychals. The task is to determine which of these applies to the owner in question. First names have to be checked, too. There are 25 foreign forms of John, including Johann, Jehan, Hans, Shaun, Gudi, and Efom. Rights established by judgment decrees, un-paid federal income taxes, and mechanics’ liens all may be prior claims on the property, ahead of the buyer’s or lender’s rights. If a judgment is discovered that constitutes a defect in the title, it is pointed out, and the seller must then eliminate it before the title of the new buyer can be insured free and clear of that judgment.
COMMITMENT
When these searches have been completed, the title company issues a commitment to insure, stating the conditions under which it will insure the title. The buyer and seller and the mortgage lender can proceed with the closing of the transaction after clearing up any defects in the title which may have been uncovered by the search and examination. The mortgage lender is as concerned as the buyer about the quality of the title because the property is to be security for the new mortgage loan. The mortgage lender requires assurance that it has a valid first (or another acceptable priority) mortgage lien on the property. This is not only common sense, but generally is a legal requirement of regulated mortgage lenders. The lender’s title insurance, however, doesn’t protect the new buyer of the property. Although the land is the same, the interest of the buyer and the interest of the lender are very different. The provisions of a lender’s title insurance policy are very different from those of a buyer’s policy, so the buyer should obtain his own policy, often issued simultaneously with the lender’s policy.
When these searches have been completed, the title company issues a commitment to insure, stating the conditions under which it will insure the title. The buyer and seller and the mortgage lender can proceed with the closing of the transaction after clearing up any defects in the title which may have been uncovered by the search and examination. The mortgage lender is as concerned as the buyer about the quality of the title because the property is to be security for the new mortgage loan. The mortgage lender requires assurance that it has a valid first (or another acceptable priority) mortgage lien on the property. This is not only common sense, but generally is a legal requirement of regulated mortgage lenders. The lender’s title insurance, however, doesn’t protect the new buyer of the property. Although the land is the same, the interest of the buyer and the interest of the lender are very different. The provisions of a lender’s title insurance policy are very different from those of a buyer’s policy, so the buyer should obtain his own policy, often issued simultaneously with the lender’s policy.
Saturday, December 6, 2008
Successful Closing Tips in Colorado
Tips For a successful closing
1 Colorado law requires that all funds paid at closing by the parties must be in the form of a wire transfer, cashiers check or teller check.
2 If possible, avoid peak times when scheduling closings (Friday afternoons, end of the month).
3 The title company will need a loan number and contact information on existing loans, HOA contact, seller's forwarding address and social security numbers for all parties.
4 If a Power of Attorney is to be used for closing, contact the title company as early as possible.
5 When scheduling moving vans or other closings be sure to allow time for the resolution of problems which may delay the completion of your transaction.
This information is provided to assist you in your real estate transaction. Should you need additional information, please feel free to contact us.
Estimated VA closing costs for buyers -buyers getting a VA loan
BUYER’S CHARGES (buyer getting a VA loan)
1. Purchase Price
2. Mortgage Title Policy
3. Miscellaneous Title Endorsements as Required by the New Lender (see title commitment)
4. Recording Fees
5.. Tax Certificate
6. Doc Fee (.01 cent per $100 of sales price)
7. Insurance Reserve Account*
8. Tax Reserve Account
9. VA Funding Fee*
10. Loan Origination Fee*
11. Discount Points*
12. Premium for Hazard Insurance
13. Survey*
14. Credit Report*
15. Appraisal Fee*
16. Interest on New Loan*
17. Miscellaneous Loan Fees per New Lender*
18. Express Mail Fees (if applicable) *
*Amounts Determined by the New Lender Note: Seller can pay all closing costs and pre-paids for the buyer if agreed to all parties in the sales contract.
Estimated VA closing costs for sellers -buyers getting a VA loan
VA LOAN SELLER’S CHARGES (Buyer getting a VA loan)
1. Loan Payoff (per existing lender’s payoff letter)
2. Commissions (per contract)
3. Title Insurance
4. Prior Year Taxes Due
5. Prorated Taxes for the Current Year
6. Water & Sewer Bill
7. Discount Points*
8. Tax Service Fee*
9. Real Estate Closing Fee
10. Document Preparation* (if applicable)
11. Miscellaneous Loan Fees per New Lender*
12. Express Mail Fees (if applicable)
13. Homeowners Dues, Fees, etc.
*Amounts Determined by the New Lender Note: Seller can pay all closing costs and pre-paids for the buyer if agreed to all parties in the sales contract.
Estimated FHA closing costs for buyers -buyers getting an FHA loan
BUYER’S CHARGES (buyer getting an FHA loan)
1. Purchase Price
2. Mortgage Title Policy
3. Miscellaneous Title Endorsements as Required by the New Lender (see title commitment)
4. Recording Fees
5. Loan Discount Fee
6. Doc Fee (.01 cent per $100 of sales price)
7. Hazard Insurance Premium (1st year) and reserves
8. FHA Mortgage Insurance *premium and. Reserves
9. Loan Discount Fee- as per contract
10. Tax Reserve Account
11. Survey*
12. Credit Report*
13. Appraisal*
14. Interest on New Loan*
15. Express Mail Fees (if applicable)
16. Real Estate and Loan Closing Fees
17. Homeowners Dues, Fees, etc.
*Amounts Determined by the New Lender Note: Buyer must pay all prepaid expenses. All other charges are negotiable if agreed to by all parties in the sales contract.
Estimated FHA closing costs for sellers -buyer getting an FHA loan
FHA LOAN SELLER’S CHARGES (buyers getting an FHA loan)
1. Loan Payoff (per existing lender’s payoff letter)
2. Commissions (per contract)
3. Title Insurance-Owner’s Title Policy
4. Tax Certificate
5. Prior Year Taxes Due
6. Prorated Taxes for the Current Year
7. Water & Sewer Bill
8. Record Release of Existing Loan
9. Inspection Fee*
10. Loan Discount Fee* -as per contract
11. Assignment of Deed of Trust* (if applicable)
12. Document Preparation* (if applicable)
13. Tax Service Fee*
14. Real Estate Closing Fee
15. Express Mail Fees (if applicable)
16. Homeowners Dues, Fees, etc.
*Amounts Determined by the New Lender Note: Buyer must pay all prepaid expenses. All other charges are negotiable if agreed to by all parties in the sales contract.
Estimated closing costs for buyers -buyers getting a conventional loan
CONVENTIONAL LOAN BUYER’S CHARGES
1. Purchase Price
2. Mortgage Title Policy
3. Miscellaneous Title Endorsements as Required by the New Lender (see title commitment)
4. Recording Fees
5. Tax Certificate
6. Doc Fee (.01 cent per $100 of sales price)
7. Insurance Reserve Account*
8. Tax Reserve Account
9. Premium for Hazard Insurance
10. Loan Origination Fee*
11. Survey*
12. Credit Report*
13. Appraisal Fee*
14. Interest on New Loan* .
15. Miscellaneous Loan Fees per New Lender*
16. Tax Service Fee*
17. Real Estate and Loan Closing Fees
18. Homeowners Dues, Fees, etc.
*Amounts Determined by the New Lender. Note: All closing costs are negotiable but must be agreed to by all parties in the sales contract.
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