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Company History
Pinnacle Title was founded in 1996 as a full service
real estate settlement firm. The company is currently a Licensed Title Insurance Agent in Maryland,
Virginia, The District of Columbia and Florida, and assists
in arranging settlement services in many other jurisdictions. Pinnacle
has a seasoned team of title insurance and settlement experts processing
hundreds of purchase and loan transactions per month. We have attorneys
and processors who are fluent in Spanish.
Pinnacle Title represents numerous lenders and
realtors in connection with residential transactions. Pinnacle also
represents builders in connection with the purchase and sale of
new homes. Through our affiliated law firm, Solomon & Maged, P.C. we are able to assist clients with questions relating
to legal matters and to clear title encumbrances which many settlement
companies can not clear.
Our user-friendly computer and internet system allows clients online
access to all of the information relating to their loan, purchase
or sale. Clients can determine the status of the closing, review
documents relating to the settlement and view all costs related
to the settlement transaction. New clients unfamiliar with our system
can either contact us online for instructions on how to use our
system (just click on "Contact Us" block on the left side
of this page) or call us at (301) 424-5400 for guidance on the system.
Let us partner with you to make the settlement process easy and
enjoyable.
Our role:
As soon as we receive a request to perform a closing we will order
a title search. The title search (or abstract) will include any
and all liens on the property as recorded in the Land Records of
said County. The title search will also include a judgment search
on the Borrowers to make sure that the property does not have lien
attach due to some unpaid debt or other lien due to litigation.
We will also order from any current lenders to the existing owner,
written payoffs showing the amount required to pay-off any existing
loans or liens against the property.
Upon receipt of the title search, the title search is examined
and reviewed by an Attorney and/or a licensed settlement agent.
If there are liens attached to the property, it is determined (on
the 1003 provided by the mortgage broker) if said lien will be paid
off in the process of the current loan. It is not uncommon to find
a lien against title to the property that is unknown to the Borrower.
Sometimes, prior loans secured by the property have been paid in
full, however, the paperwork (a release or Certificate of Satisfaction)
has not been properly completed to release the lien from the property.
We will obtain lien information, track down the last settlement
company involved and obtain the releases prior to the new loan being
put in place since most Lenders make it a condition of the new loan
that they be in “First Lien Position”. If necessary,
the Title Company will obtain a Subordination Agreement from a current
lien holder, if the lien is not being paid off and thus the current
lien holder agrees to be placed in “Second Lien Position”
to the Lender’s new loan.
Once the Abstract review is complete and title issues are resolved,
we will issue and send to the Mortgage Broker a title binder
also known as the title commitment. This document states that we
will insure the title of the subject property. This is of primary
importance to any Lender. Unless they receive “title insurance”
a Lender will normally refuse to provide the loan. We will also
provide an insured closing letter from the settlement company’s
underwriter insuring that the Lender’s funds are protected
and provide wiring instructions for funds to be sent to the settlement
company’s escrow account. We will also obtain the real estate
tax information for the property. Most Lenders require proof of
tax payment since delinquent real estate taxes can become a lien
against the property and endanger the Lender’s first lien
position. To insure that funds are available to pay future real
estate taxes, most Lenders require an escrow of several months of
real estate tax payments. This results in one-twelfth of your insurance
and taxes being added to your monthly payment (i.e. your payment
includes “PITI” or principal, interest, taxes and insurance).
We will also obtain payoff information from current lenders of the
property, including: the principal balance of the outstanding loan,
the per diem amount of interest required to payoff the existing
loan, fee and penalties, and total amount required
to fully payoff of the existing loan. In addition, we will comply
with any local requirements relating to certificates or documentation
required for recordation of the deed or deed of trust.In the case
of a purchase of the property, we will also, order a survey of the
property to be sure that the correct parcel is being purchased and
that there are no encroachments onto the property; obtain final
water bill from the property; and if applicable, obtain Home Owner’s
Association payoff information. In addition to the information above,
we will also prepare a HUD-1. The HUD-1 settlement statement contains
a detail of all of the costs and fees that are incurred by the Borrower
in connection with receiving a loan. The HUD-1 settlement statement
also allocates the transfer taxes, recording costs, brokerage fees
and other costs related to the sale of a property.
After the settlement is conducted, we will review all documentation
to insure the accuracy of the documents, audit the HUD-1 Settlement
Statement and disburse the funds of the settlement sending all proceeds
to the proper place; record all deeds and deeds of trust in the
applicable real property records; pay all applicable real estate
taxes collected at settlement, send loan package back to Lender;
prepare and provide the title insurance policy for the Lender and
owner if applicable; and obtain a Certificate of Satisfaction or
release from prior Lender(s) to be filed at courthouse so that the
repayment of the prior loan is evidenced in the records. We are
always available after settlement to answer any questions.
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