Do I need title insurance and recording for a flip?

[Cong Zhao]

Hi BP nation,

I live in Charlotte NC and I’m going to do my first flip in Spartanburg SC. Got the deal from a local guru who whole sale some of his deals because he can not do them all. Got a GC and a realtor and also got some help from the guru himself, the plan is clear now and hope this one will go smoothly finger crossed.

I’m going to close the deal with guru next week, and will start rehab right after. closing attorney is chosen by the guru, and I’m sure they’ve done title research etc because they already closed with seller. The closing attorney gave me a fee breakdown and said their fee includes attorney fee, all courier expenses, abstractor, and title search expenses, but not include Title insurance and recording fee.

So my question is, do I need a title insurance and recording for a flip? And what will the attorney record for this recording fee?

Thank you all!

[Jason D.]

@Cong Zhao yes. You need title insurance and the deed to be recorded.

Sounds to me like a "guru" taking advantage of a new investor.