Helping Your Clients Understand Title Commitments
For many buyers and sellers, a title commitment is one of the most confusing documents they encounter during a real estate transaction. While real estate agents and loan officers are used to reviewing these documents, clients often see them as a stack of legal jargon that feels overwhelming and intimidating. Yet the title commitment is one of the most important pieces of the closing process—it outlines what must be done before the title company can issue a clear, insurable title. Helping your clients understand this document is one of the best ways to build trust, eliminate fear, and prevent last-minute surprises.
Below is a comprehensive guide to help you explain title commitments clearly and confidently.
What Is a Title Commitment?
A title commitment is a legal document issued by a title company that promises to provide title insurance upon certain conditions being met. Think of it as a roadmap to a clean closing. It tells everyone involved:
- What the title company has found in the public record
- What issues need to be resolved before closing
- What items will remain on title even after the transaction?
- What coverage will the title insurance policy actually protect?
Your clients don’t need to become title experts. They simply need to understand what the document covers and why it matters.
Breaking Down the Title Commitment: The Four Parts
Almost every title commitment is divided into the same major sections. Helping your clients recognize these sections makes the document feel significantly less overwhelming.
1. Schedule A – The “Snapshot” of the Transaction
Schedule A provides the basic details of the transaction. It confirms:
- The type of policy being issued (owner, lender, or both)
- Who the insured parties will be
- The legal description of the property
- The proposed insured amounts
Think of Schedule A as the who, what, and how much of the deal. If anything is incorrect here—names, purchase price, legal description—it should be fixed immediately. This is the first place you should walk your client through because it’s the most straightforward and relates directly to what they already understand.
2. Schedule B-I – The Requirements to Close
This section outlines what must be completed before the title company can issue the title insurance policy. Requirements often include:
- Paying off an existing mortgage
- Providing divorce decrees, probate documents, or trust paperwork
- Releasing old liens or judgments
- Clearing unpaid taxes
- Signing specific affidavits
- Correcting errors in prior deeds
Schedule B-I is the to-do list of the transaction. This is where many delays originate, especially when unexpected liens or ownership issues appear. Help your clients understand that these items aren’t “problems”—they’re simply tasks that must be resolved. Reassure them that most requirements are common and can be handled efficiently when everyone works together.
3. Schedule B-II – Exceptions to Coverage
Although title insurance provides protection, it does not cover everything. Schedule B-II lists what will not be insured against, even after closing. This often includes:
- Utility easements
- HOA restrictions and bylaws
- Mineral rights reservations
- Building setback requirements
- Certain encroachments
- Public road access rights
A key point to explain: exceptions do not necessarily mean problems. They are simply recurring property rights that follow the land. For example, utility easements are normal. HOA rules are standard. What matters is whether any exception restricts the client’s intended use of the property.
4. The Legal Description
At the end of the commitment, clients will find the full legal description of the property—usually written in metes and bounds, lot-and-block format, or condominium declarations. You don’t need to decode the legal description in detail; clients mainly need to understand that it identifies the exact land they are purchasing and ensures accuracy across all recorded documents.
How to Explain a Title Commitment to Clients in Simple Terms
Start with a Comparison They Understand
Use simple analogies, such as:
- “A title commitment is like a pre-inspection of the property’s legal records.”
- “It’s a promise to ensure the title as long as everything on the checklist gets done.”
Analogies help reduce fear and frame the document as something normal—not something threatening.
Walk Through the Commitment in Order
Clients appreciate a step-by-step approach. Go section by section:
- Confirm the property details (Schedule A).
- Review the requirements (Schedule B-I).
- Discuss the exceptions (Schedule B-II).
- Look at the legal description last.
By following this order, you build understanding logically and avoid overwhelming them.
Highlight What’s Common and What’s Unusual
Most items in a title commitment are routine. Tell your clients that:
- Easements are normal
- HOA restrictions are normal
- Prior mortgages are normal.
- Tax checks are normal.
Then point out anything unusual, such as:
- Old unsatisfied liens
- Unreleased judgments
- Ownership discrepancies
- Boundary issues
- Probate-related requirements
Your guidance reassures the client and reinforces your expertise.
Explain Who Is Responsible for What
Many clients panic when they see requirements they think they must handle personally. Clarify that:
- The seller is generally responsible for clearing liens and mortgages.
- The buyer provides information for the lender’s requirements.
- The title company handles searches, payoffs, and documentation.
- Agents and lenders coordinate communication and deadlines.
Understanding responsibility helps avoid confusion and tension.
Common Issues That Clients May Encounter
To build trust, prepare clients for the most common title issues. A few examples include:
Unreleased Mortgages
Sometimes old mortgages appear on the title even after being paid off because the release was never recorded.
Judgments or Liens
These can include medical bills, credit card judgments, child support liens, or tax liens.
Boundary or Survey Issues
Fences, sheds, or driveways may encroach onto neighboring property lines.
Name Variations
A seller might have multiple name spellings in public records, requiring affidavits to confirm identity.
Explaining that these issues are fixable—and often resolved before closing—helps ease client concerns.
Why Helping Clients Understand Title Commitments Matters
1. Reduces Anxiety and Builds Trust
Clients feel more confident when they understand what they’re signing and what to expect.
2. Prevents Last-Minute Surprises
Unclear requirements can derail a closing. Clear communication keeps the deal on track.
3. Differentiates You as a Professional
Buyers and sellers remember when a real estate professional takes the time to educate them.
4. Improves Transaction Efficiency
When clients know what’s needed, they respond faster and with fewer errors.
Final Thoughts
Title commitments don’t need to be intimidating. With the right explanation, they become a clear roadmap to a protected, successful closing. By breaking down the document, addressing common concerns, and highlighting what matters most, you help your clients move through the transaction with confidence and clarity.
Whether you’re a real estate agent, loan officer, or title professional, your ability to guide clients through this document strengthens relationships, supports smoother closings, and sets you apart as a true expert in your field.
Learn more about our comprehensive title insurance services here.
Thank you for reading! If you enjoyed this article and want to explore more content on similar topics, check out our other blogs at Sonic Loans, Sonic Realty, and Sonic Title. We have a wealth of information designed to help you navigate the world of real estate and finance. Happy reading!
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