Escrow & Title
What is the purpose of a title commitment (also called a title binder) issued before a Florida closing?
ATo guarantee the property's value
BTo commit the title insurer to issue a title insurance policy, subject to certain requirements and exceptions✓ Correct
CTo confirm the property is free of all liens
DTo certify that the survey is accurate
Explanation
A title commitment is the title insurance company's promise to issue a title insurance policy after closing, subject to the satisfaction of listed requirements (such as payoff of existing mortgages) and subject to listed exceptions.
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