The main purpose of title insurance is to insure that the Seller has clear title to the property that he is selling to the Buyer and, therefore, this policy does insure the Seller's ownership. The title company or attorney's office will also check for any liens and encumbrances on the property to make sure the property is free and clear.
If a Buyer is getting a mortgage, they will have the amount that they will be paying to the bank along with points, etc. If the Sellers have a mortgage, they will know the amount necessary to pay off their mortgage. There are other pro-rations that the title company or attorney's office will do. Probably the two main pro-rations they do in this area are property taxes and condo maintenance fees.
At closing, the Buyers and Sellers should have a bottom line telling them what to expect.
One of the smartest things to do is to go over our HUD statement (which is a list of closing costs for both Buyer and Sellers) with your agent prior to closing so you can make sure all your costs and pro-rations are correct. Hopefully eliminating surprises at the closing table.
Our agents here at Sand Key Realty Sales and Rentals, Inc. are here to help you with your future. Please give us a call at either one of our offices. One office is at 740 S. Gulfview Blvd., Clearwater Beach, (727-443-0032) and the other is at 309 Belleview Blvd., Belleair, (727-461-4200).