Page 23 - Oregon Title and Escrow Resource

Can I be protected against title risks prior to the close of the real estate transaction?

Yes, you can. Title companies can protect your interest through the issuance of “binders” and “commitments.”

A binder is an agreement to issue insurance giving temporary coverage until such time as a formal policy is
issued. A commitment is a title insurer’s contractual obligation to insure title to real property once its stated
requirements have been met.

Discuss with your title insurer the best means to protect your interests.

How do I go about clearing unwanted liens and encumbrances?

You will wish to carefully review the preliminary title report. Should the title to the property be clouded, you and
your agents will work with the seller and the seller’s agents to clear the unwanted liens and encumbrances prior
to taking title.

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