We see too many transactions where the note holder is selling his note to us and he did not acquire a Lenders Title Policy when he sold his property. It seems that this happens most frequently when a Title Company was not used to close the transaction. If you agree to sell a property and carry the note, you should demand a Lenders Title Policy be issued. Why?
- The Title Company will confirm the validity of your note.
- The Title Company will ensure that your note is in fact in first position.
- The Title Company will ensure that you, as the seller, do in fact have the right to sell the note.
- The Lenders Policy will help detect and/or prevent fraud.
- You will sleep better.
“People are the core of every business. Businesses are based on relationships and relationships are based on people.”…..Marcus Lemonis, The Profit, TV Show.