Published on: October 05, 2022
BY STEWART CONTENT TEAM
There are a seemingly infinite number of details that go into preparing for a transaction. Missing even one can throw off the timing of a closing. Corinne Fimbrez, Dena Cruz and Nicholas Mercado understand that. Inside out. The Stewart Title commercial escrow officer, senior underwriting counsel and commercial title officer, respectively, discussed the many finer points of title policy preparation in our National Commercial Services Title Tenets webinar event “Understanding Preliminary Title Report, Commitments and Proformas.”
The California-based trio walked through what’s involved with all three documents and what makes each unique. Among the takeaways, a prelim has no contract or liability, a title commitment is an agreement to offer insurance until a formal policy is issued, and a proforma is “the starting point for negotiations.”
Corinne, Dena and Nicholas covered an extensive list of the red flags that can impact the process and delay closings, and explained how to recognize, anticipate and deal with them. They broke out categories of red flags that include legal descriptions, deeds, taxes and endorsements. Their advice stressed the importance of managing expectations, allowing time to properly complete all the steps and, most importantly, protecting closing schedules.
Prepping to issue a title policy is an incredibly detailed journey, complete with unexpected twists and turns. We encourage you to watch the on-demand recording at your convenience. We promise, the farther along you go, the more you’ll appreciate the lessons and advice of these three highly experienced title navigators.