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Title Search -Why do I need to do one?

Why do a title search on the property you’re buying; and, why do a search to see if there are any liens against the person who’s selling the property to you?

Because there could be liens on the property, that’s why.  You don’t want to take on that persons debts, do you?
Of course you don’t.  You want the title co. to identify, and pay off, all the sellers’ debts against the house, at closing…so that your new home is free and clear of all liens.
1. If the buyer has to get a loan to buy your property…these lien/title searches will be required.  If any liens are found, they are also required to be paid off by the title company, at closing, out of the sellers’ proceeds.
2. If a person has liens filed against them, as soon as they buy a piece of real estate, those personal liens immediately attach to their new real estate.
3. If a person has multiple properties in a county, and a lien is filed against them in that county, then that one lien attaches to EVERY piece of real estate that person owns in that county.
4. Never buy a property without having a title company search the property and the seller for liens.

We had an attorney (yes, an attorney) sell $80,000 property to a guy.  The attorney (not a real estate attorney) prepared the deed WITHOUT doing a title search – he thought he was saving himself $175.   The attorney lent the buyer the money to buy the house, and took the house as collateral on the loan by filing a mortgage.

Well, the buyer defaulted on the loan, so the attorney went to foreclose on the $80,000 property…to take it back into his name.

BUT, the buyer had personal liens against him totaling $130,000., and the instant the deed was recorded in his name, those liens attached to the property.  This means when the attorney forces the sale of the property (foreclosure), all 80k will go to those liens, and the attorney will not get ONE RED CENT.  He lost $80,000 because he was trying to save $175.