Wholesale Deals Falling Apart at the Title Company
For any wholesalers out there, how are you reducing the number of deals that fall apart at the title company due to liens or defects? I've been stuck with title search fees a few times this summer, so I am refining how I screen deals before sending them to the title company.
For example, my last seller bought his property without a title examination. I didn't discover this until the title search. After that failure, I now ask all sellers if they purchased their house with title insurance.
I am good with searching for mortgages and municipal liens, but not so good at screening for bankruptcies and judgments.
- If there was a bankruptcy, how are your determining if this will impact a sale?
- If there is a judgment recorded, how are you determining the unpaid balance?
- What other screening methods are you using?