Title Commitment

A Title Commitment is a promise to issue an insurance policy on a piece of property. A Title Commitment is equivalent to a binder for other types of insurance, which commits, or binds, the insurance company to issue the policy as set forth in the commitment.

Who is being insured?
Any future investors and the lender are generally the parties being insured.  If an owner's policy is being issued then the purchasers of the property are also insured.

In most cases the amount of insurance is, for the lender, the amount of the loan, and for the owner the sales price of the property

The Title Insurance is insuring the "legal description" of the property

The following are required to insure the title:

	Proof of taxes paid.
	Inchoate Lien Affidavit, also known as Sellers'/Owners' Affidavit, to be signed at closing, indicating that the Seller/Owner is not aware of any facts or circumstances which would adversely affect title to the property.
	Cancellation of any open mortgages, judgments or liens that the abstractor found bearing against the property.
	Survey of the property by a licensed surveyor or a survey waiver to be signed at closing.