A title search report can look like a wall of legal language the first time you see one. If you’ve recently received one as part of a home purchase or refinance in the Lehigh Valley area, you’re not alone in finding it a little intimidating. The good news is that once you know what each section is actually telling you, the whole document starts to make a lot more sense. Here’s a practical walkthrough of what to look for and what it all means.
What a Title Search Is Actually Doing
Before getting into the report itself, it helps to understand the purpose behind it. A title search is a review of the public records tied to a specific property, going back through the chain of ownership to confirm that the seller actually has the right to sell and that no unresolved claims are attached to the property. We’ve been conducting these searches since 1991, and the goal has always been the same: to give buyers, lenders, and real estate professionals a clear picture of a property’s legal standing before closing.
The report documents everything found during that research. Think of it as the paper trail for the property itself, not the transaction.
Breaking Down the Main Sections
The Chain of Title
This section traces ownership of the property through its history. You’ll see a list of prior owners, the dates they held title, and the deeds that transferred ownership from one party to the next. What you’re looking for here is an unbroken sequence. Any gap in that chain, such as a missing deed or a transfer that doesn’t line up with the dates, is something that needs to be explained before closing.
For most properties in Allentown, Bethlehem, and the surrounding area, the chain of title goes back many decades. Don’t be alarmed by the length. A longer chain just means more history, not more problems.
Liens and Encumbrances
This is often the section that causes the most concern, and understandably so. Liens are legal claims against a property, usually attached because of unpaid debts. Common examples include mortgage balances from previous owners, contractor or mechanic’s liens, tax liens, and judgments from court proceedings.
Not every lien is a red flag. A mortgage lien from the current owner, for example, is expected and will be paid off at closing. What you want to watch for are liens that are unexpected, disputed, or that belong to parties no longer connected to the property. Our team reviews these carefully for clients in Easton, Nazareth, and throughout Lehigh and Northampton counties to make sure nothing slips through before settlement.
Easements and Restrictions
Easements give someone else a legal right to use part of the property for a specific purpose, like a utility company running lines across the back of a lot or a neighbor with a shared driveway agreement. Deed restrictions, sometimes called covenants, limit how a property can be used or developed.
These don’t necessarily kill a deal, but you should know about them. A buyer in Bethlehem who plans to build an addition, for instance, needs to know if there’s a setback restriction in the deed. Reading this section carefully, and asking questions, is worth your time.
Tax Information
The report will typically include current real estate tax information for the property, including whether any taxes are delinquent. Unpaid taxes become a lien on the property, so this section matters. Make sure the figures reflect the current ownership and that nothing is past due.
Where Title Insurance Fits In
Even the most thorough title search can’t catch everything. Forged documents, undisclosed heirs, clerical errors in public records; these are the kinds of issues that a title search may not surface but that can create real legal headaches after closing. That’s exactly why title insurance exists. As licensed agents for Stewart Title, First American Title, and Fidelity National Title, we issue policies that protect both buyers and lenders if a covered issue surfaces down the road.
The title search and the title insurance policy work together. The search identifies known risks; the policy protects you from the ones that weren’t discoverable at the time.
A Few Practical Tips
Read the report before closing day, not at the closing table. Give yourself time to ask questions. If something doesn’t look right or you don’t understand a specific item, say so. We’d much rather explain a mechanic’s lien or an easement description over the phone than have a client sign documents they’re unsure about.
If you have a real estate attorney, loop them in. Their job is to interpret these details in the context of your transaction, and a good one will go through the report with you line by line if needed.
We’ve worked with buyers, sellers, lenders, and real estate agents across the Lehigh Valley for more than 30 years, and no question is too basic. If you’re looking at a title search report right now and something has you puzzled, please give us a call or drop us an email. We’re happy to walk you through it.
