What is the Difference Between a Title Abstractor, a Title Agent, and an Escrow Officer?
Read below to learn the definitions of these professions that are vital to real estate sales.
Title Abstractor, Title Examiner or Title Searcher – Is assigned to search for the history and ownership of property including conveyances and encumbrances. They search records and examine documents to determine if land can be sold. They usually work for title insurance or real estate companies.
Title Agent – An insurance agent who offers title insurance policies to homeowners. They are responsible for certifying the validity of a title on a real estate property. This includes guaranteeing proper ownership of a clean title and getting title insurance to protect the buyer from undue harm after a sale.
Escrow Officer or Escrow Agent, Settlement Agent, Closing Agent – Is in charge of the transfer of funds and property title between the parties involved in a real estate sale closing transaction. They hold the assets and make sure the terms of the escrow are met before releasing them. No property or funds change hands until both properties in a real estate transaction achieve a mutually agreed-upon deal. In many states, an escrow officer is a licensed agent within a title insurance company.
Errors and omissions insurance or professional liability insurance is needed by title abstractors, title agents, and escrow officers. It can cover legal fees for any lawsuits that may result from business errors such as oversights of property restrictions, negligence accusations or work errors.
