Escrow & Title
In Tennessee, the duty to disclose the existence of a 'Notice of Commencement' affects buyers because it:
AIndicates the property's zoning is changing
BSignals that construction work has begun and potential mechanic's liens may attach✓ Correct
CIndicates a title insurance policy has been issued
DConfirms the property is free of all liens
Explanation
A Notice of Commencement signals that construction is underway on the property. This means mechanic's liens by contractors and material suppliers may attach, which could affect the buyer's title.
Related Tennessee Escrow & Title Questions
- In Tennessee, which of the following is typically NOT prorated at closing?
- Actual notice means:
- A title insurance owner's policy protects:
- Title insurance is unique among insurance products because it protects against:
- A lis pendens recorded against a property indicates:
- In Tennessee, real estate closings are most commonly handled by:
- An 'encroachment' discovered during a survey means:
- An 'affidavit of heirship' in Tennessee is used when:
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