Title Commitment? Title Insurance? Title Company?? What is all this… and do I need it?

Kate Marrone First Time Homebuyer Info, Info on Real Estate Transactions Leave a Comment

All of these different things surrounding title all boil down to one general idea…

Are you buying what you think you’re buying?

And how do you know?

Title work reveals who may have interests to the subject property and to what extent.  Title commitment describes what has been uncovered regarding the property, what has to take place for a policy to be provided and what can and can not be covered.  Title insurance is the guarantee that the buyer/seller purchases to ensure there are no other potential risks other than what was uncovered in the commitment.  The title company handles the researching of the title and the subsequent insurance that “what you see is what you get.”

Unlike other types of insurance, where a policy you purchase today will cover you from now on, title insurance is different.  A title insurance policy you purchase today covers you for all the historical information available from way back when thru today.  The policy covers the period of time that has already passed; it is not a policy for the future.

My very quick description above does not do justice to the wealth of information that title companies provide or the importance of title insurance.  I’ll leave the better explanations to the professionals…

Dept Reg Ag

Dept Reg Ag


A .pdf from the state of Colorado regarding title is attached below.

What is Title Insurance DORA