Escrow & Title

What is a 'title insurance commitment' (also called a title binder) in a Vermont real estate transaction?

AThe final title insurance policy
BA preliminary report showing the current title condition and the requirements that must be met before a final title insurance policy will be issued✓ Correct
CThe surveyor's report on boundary lines
DThe attorney's opinion of value

Explanation

A title insurance commitment (binder) is issued before closing and discloses the current state of title, existing encumbrances, and any conditions (requirements) that must be satisfied before the title company will issue a final policy. Vermont attorneys and buyers review commitments carefully before closing.

Related Vermont Escrow & Title Questions

Practice More Vermont Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Vermont Quiz →