Escrow & Title
A Michigan title company issues a title commitment before closing that:
AGuarantees the property is free of all defects
BPromises to issue title insurance subject to listed exceptions and requirements✓ Correct
CCertifies the property's market value
DConfirms the property passed all required inspections
Explanation
A title commitment (binder) is the title company's promise to issue a title insurance policy subject to the conditions, requirements, and exceptions listed in the commitment. It is not a guarantee of clear title.
Related Michigan Escrow & Title Questions
- In Michigan, a 'title plant' maintained by a title insurance company contains:
- In Michigan, a lis pendens (notice of pending litigation) is recorded to:
- Michigan's Recording Act is a 'race-notice' statute, meaning:
- In Michigan, a 'judgment search' in title work identifies:
- A Michigan seller delivers a deed to the buyer but the deed is not recorded. The transfer of ownership:
- In Michigan, RESPA (Real Estate Settlement Procedures Act) prohibits:
- Michigan's race-notice recording statute means a subsequent purchaser is protected if they:
- In Michigan, a 'property tax search' performed as part of title due diligence reveals:
Practice More Michigan Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Michigan Quiz →