Texas Title and Escrow For New Construction
Adobe Title, LLC has the resources and the years of experience to serve you for Title Insurance And Escrow Closing services for New Construction Title Insurance, Title Search and Closing Services. Since we have our own Title Plant the title process is done by our employees, who are located in Texas, and are available to serve your needs.
New Construction Title Insurance, Title Search
On new construction the loan to build will be covered by a Lender's Policy. The general perception about a New Construction Owner's Title Insurance is that it is unnecessary since the house or the property is brand new. However, the undeveloped land will likely have previous owners. A title search may reveal previous problems or existing liens that can be addressed, so that the new home is sold with clear title. The Owner's Title Insurance Policy will protect against any existing or previous problems with the title. The Lender's may require a survey and title search for the new construction mortgage loan.
Closing Services for New Construction
The process begins with the issuance of title policy covering the values of both the land and the newly constructed house. The policy will insure the new mortgage on the new construction.
Title and Escrow Process on a New Construction
By giving up the legal waiver of lien rights; the suppliers, contractors or subcontractors give up the right to file any lien affidavit against the work done for the new construction. Therefore, having all parties involved in building the new construction listed with names and addresses in detail is crucial and it will ensure their involvement in the construction process as well as the work being done periodically. Listing the contractors and suppliers is done as part of the Sworn Statement.
Draws and Mechanics' Lien
Periodic payouts also known as draws are made to the appropriate parties individually to each contractor and the subcontractor for their work. Though it is the bank that makes the draw payments, title escrow officers monitor the payments to ensure double payments are not made and to prevent Mechanics' Lien being filed against the homeowner.
Final Lien Waivers and Affidavit of Completion
When the new construction is complete the contractors, subcontractors and any suppliers involved will hand out Final Lien Waivers along with the Affidavit of Completion, which will basically ensure the project is complete all the work done is paid.
More on New Construction
Texas Department of Housing & Community Affairs - Developers and Builders 
* Reference Financial Publishing Company - www.financial-publishing.com
* Reference
