Purchasing a commercial property for some can be both daunting and exciting. It is important to note that title insurance for a commercial transaction is imperative, and finding out that title is clear, will ease some of those overwhelming concerns.
Commercial real estate can include properties owned by corporations, partnerships, limited liability corporations (LLC) and limited partnerships (LP). In addition to the standard title search, additional areas of concern include uniform commercial code searches, county and state searches, fixture filings, leases or payments on heavy equipment, environmental usage, access requirements, and restrictions, as well as solar panel liens.
During the due diligence process, the buyers of commercial properties may also need to find documentation on proper corporate formation and ownership. This will check for specific liens, such as taxes and fees that are customarily due from entities, including franchise taxes and state filing fees, to ascertain filing of annual reports and good standing.
A new buyer or the most experienced one can learn more about the process of title insurance from a real estate attorney or title company that specializes in commercial transactions. RMS Title & Appraisal is experienced in closing a diverse portfolio of commercial properties. Gas stations, apartment buildings, vacant land, warehouses and medical offices are just some of the property types we have provided settlement for. Our paralegal team thrives in this arena with their attention to detail, knowledge of the market and vast experience with many commercial lenders.