•What do I need to bring to Settlement?
(ATTEND) Persons on Title - All persons that have title to the property or will be put on title must come to the settlement, unless there is a power of attorney.
(BRING) Power of Attorney - If there is a Power of Attorney, please bring all original documents.
(BRING) Identification - All persons signing must bring 2 forms of identification (driver's license, social security card, passport, etc.)
(BRING) Good Faith Estimate - Buyers/Borrowers should bring a copy of their lender's good faith estimate.
(BRING) Certified Check - If funds are brought to the closing, we only accept certified checks, cashier's check and money orders payable to Consumers First Settlements. We also accept funding wires but the funds must be wired to our office prior to closing in order to avoid any delay in recordation.
(NOTIFY) If Funds Assigned to Others - If funds are being assigned to another person or entity, please notify us prior to closing.
(BRING) Voided Check - If you are having your funds deposited into a banking account, please bring a voided check or deposit slip.
(BRING) All Bills to be Paid - Seller must bring statements for all bills that will be paid from the settlement.
(INFORMED) Other Documents - If there are any additional documents required, our office will inform you in advance.

•When will funds be disbursed?
According to Virginia Code 6.1-2.13, the settlement company has 2 business days after settlement to record the deed and disburse funds. Funds cannot be disbursed until the settlement company is notified of the recordation of the deed and other pertinent documents. It is our practice to send all deeds and documents to recordation immediately after settlements and upon receipt of lender's funds. There are exceptions to this rule, and we will notify you if they should apply in your case.

•What is Title Insurance?
It protects the landowner from any claims made against their property. These claims can be based on title defects or encumbrances. A title defect is anything that is missing from title. For example, an heir of a previous owner can claim title to the property and challenge the ownership of the property. An encumbrance is a claim against the property itself. For instance, a power company can claim a right to run a power line through the property.
Title insurance will cover the costs to defend your property rights against any claims to your property. If the defense is not successful, then the title insurance company would reimburse you for any losses caused by the challenge.

•Does Hazard Insurance provide you with the same protection as Title Insurance?
No. Hazard Insurance protects you against any losses on the structure and not on the land. For example, if your home sustains fire damage, you have a claim. The hazard insurance company will reimburse you for rebuilding your home or repairing any damages to your property. Hazard insurance does not protect you against any claims made by a previous owner or a judgment that has attached to your property not related to you. Only title insurance can protect you against these claims, which often can threaten your ownership of your home unless it is resolved.

•What is a title search and what does it do?
A title search is always done prior to a sale of a home or a refinancing of a property. Its purpose is to reveal any and all ownership, judgments, defects and encumbrances on property.
However, there are some defects and encumbrances that may never be revealed in a title search. For example, fraudulent conveyances, defective deed and clerical errors in the recording of documents can cloud a title, challenging your claim to your property. Title insurance is available to protect you against these hidden defects which often are not revealed in a title search.

•What is the cost for title insurance?
It is a one time only premiums paid at closing and it varies with the amount of the sales price of the property. It protects you and your heirs forever and continues even after the property is sold.

•If I have a lender’s title policy, does that protect me?
No. The lender’s policy only protects the lender for the amount that is being borrowed. You need to purchase your own policy to protect you and your heirs for as long as you own an interest in the property.

•What is the difference between a standard and enhanced coverage?
The price for an enhanced coverage is slightly higher than the standard policy and it offers substantially more coverage such as for:
- 150 percent of the original policy amount, providing more protection against inflation.
- Violations of zoning and subdivision laws
- Protection for failing to secure proper building permits.
Please call our office is you need additional information on the difference between the two policies

•What Is a Closing?
Upon completion and approval of the Title Commitment by all parties (Seller, Buyer and Lender), receipt of loan documentation from Lender (if applicable), receipt and review of survey by all parties, the Title Company will schedule a closing. The escrow officer or realtor will contact all parties to schedule a closing date that is convenient to all concerned. The purchaser or borrower is notified what to bring to closing (i.e. cashier's check, curative matters, etc.) All parties meet (either together or separately) with the closer to execute all documents required to complete the transaction. Upon funding, the Title Company will record the documents among the Official Public Records and disburse all funds (i.e. payment of taxes, loan payoffs, survey charges, etc.).

•What Is a Survey?
A survey is a geographical description that provides a tangible representation of the property. It sets out the boundaries, dimensions and area of the property. If there are improvements on the property, a survey also locates the improvements and often identifies access to and from a public road. The lender and/or title company may require a new survey if your survey is of extreme age or does not locate your improvements on the property.

•What Is an Earnest Money Contract?
An Earnest Money Contract is an agreement between a Seller and a Buyer, which establishes the guidelines for the transaction, setting forth the sales price, the term or duration of the contract and specifies what charges will be paid by each party. An Earnest Money Contract is very important to any sales transaction and is often required by any Lender.

•What Is a Title Search?
The Title Company performs a search of the documents on record to compile a list of conveyances, encumbrances and exceptions affecting the subject property. This search includes items filed among the Deed Records, Deed of Trust Records, Official Public Records, Oil and Gas Records, Tax Lien Records (State and Federal), Abstracts of Judgment, Lis Pendens, Probate and District Court records. A chronological list of documents is composed to complete the Title Search.

•If I buy title insurance, will it guarantee I have good title in my property?
A title insurance policy does not guarantee good title. What sets the standard for “good” title or a “clear” deed? Don’t fall into this word trap - forget the phrase “good” title or “clear” deed. You want assurance that the property you are buying will be yours and only yours. A title policy provides coverage for the title that is considered INSURABLE. Title insurance is a contract of indemnity and will protect you from risks and losses caused by faults in title in the past. By purchasing a title insurance policy you are eliminating risks and losses due to title defects. A title search and examination will be preformed before a commitment for title insurance is ever issued to the buyer.

•I don’t want the IRS to know about me selling this property. Just give me my sale proceeds in cash.
The Title Company must give your sale proceeds by escrow check or wire to show that you were properly paid for your sale. We must also report this sale on a 1099-S form for the reporting year period that the property was sold. You will be asked to furnish the proper TAX ID number or your social security number for this reporting purpose. Some sales are tax exempt for reporting purposes and you will be asked to fill out the proper certification form if your sale is exempt. There are substantial penalties/imprisonment for the reporting entity and the taxpayer not complying with this law.