A type of real estate deed used to transfer property ownership from a seller (grantor) to a buyer(grantee). Unlike a warranty deed, a bargain and sale deed does not provide specific guarantees regarding the property’s title, and it may or may not contain warranties against encumbrances.

Stands for Covenants, Conditions, and Restrictions. CC&R is a legal term often used in the context of planned communities, such as residential subdivisions, condominiums, or town house developments. These documents are typically created by the developer of the community and establish certain rules and regulations that property owners must abide by.

The history of a property’s ownership, showing the succession of transfers from owner to owner.

The final stage of a real estate transaction where the transfer of ownership occurs, and all necessary documents are signed.

An unresolved issue or claim that may affect the clear title of a property.

A document issued by a title insurance company that outlines the conditions under which the company is willing to provide a title insurance policy. This document is a crucial part of the real estate transaction process and is typically issued after a thorough title search has been conducted on a property.

A legal document commonly used in real estate transactions in some jurisdictions, especially in the UnitedStates. It’s a three-party instrument involving the borrower (trustor), the lender (beneficiary), and a neutralthird party known as the trustee.

A durable power of attorney remains in effect even if the principal becomes incapacitated or mentally incompetent. This is important for situations where the agent needs to act on behalf of the principal incase of disability

A right granted to another party to use or access a portion of the property for a specific purpose.

A deposit into an escrow trust account made by the buyer to show their good faith and commitment to the transaction.

In real estate refers to any claim, lien, charge, or liability that may affect or limit the ownership interest in a property. Encumbrances are typically recorded in public records and can impact the ability to transfer or sell the property. Understanding encumbrances is crucial for both buyers and sellers in a real estate transaction.

A financial arrangement where a neutral third party, known as the escrow agent, holds and regulates funds or assets during a transaction between two parties. The funds or assets are held in escrow until predetermined conditions or obligations are fulfilled, at which point they are released to the appropriate party. Escrow is commonly used in real estate transactions, but it can also be applied in various other contexts, such as business mergers, online transactions, or legal settlements. The purpose of escrow is to provide a secure and impartial intermediary, ensuring that both parties involved in the transaction fulfill their respective obligations before the final transfer of funds or assets occurs

A professional who plays a crucial role in real estate transactions and certain financial transactions. The primary responsibility of an escrow officer is to facilitate a smooth and secure transfer of property or funds between parties involved in a transaction. This process involves holding important documents and funds in a secure escrow account until all conditions of the transaction are met.

Lenders and Escrow Collection Companies will hold "reserve accounts" for taxes, insurance, assessments, condo dues, etc., where they will collect monthly for said items and hold the funds in their account until such a time that they are due and remit the payments from said "Escrow Reserve" account on behalf of the parties.

Listed on a Title Commitment refers to a specific issue or item that is excluded from coverage in a title insurance policy. When a title company conducts a title search on a property, it identifies potential risks or defects in the property's title. Some of these issues may be listed as exceptions, meaning that the title insurance policy will not provide coverage for them.

Refers to a document that includes the legal description of the property involved in the transaction. This description may include details such as boundaries, measurements, and other relevant information that precisely identifies the property.

Stands for the Foreign Investment in Real Property Tax Act. FIRPTA is a U.S. tax law that applies to foreign individuals and entities involved in real estate transactions in the United States. Enacted in 1980, FIRPTA aims to ensure that the U.S. government can collect taxes on gains derived from the sale or disposition of U.S. real property interests by foreign persons.

Grants broad authority to the agent to handle various financial, legal, and business matters on behalf of the principal. It is often used for situations where the principal may be unable to handle their affairs temporarily.

The person or entity conveying the property (grantor) and the person or entity receiving the property (grantee) through a deed.

A label affixed to manufactured homes to provide information about the home's construction, specifications, and compliance with federal standards. The data plate is issued by the U.S. Department of Housing and Urban Development (HUD) and is required for all manufactured homes manufactured after June 15, 1976. Physical description: 8.5 x 11" white sheet of paper commonly affixed inside of a kitchen cabinet, electrical panel, bedroom closet, near the water heater or inside a bathroom cabinet door.

Also known as the HUD Certification Label, is a label affixed to manufactured homes to certify compliance with the U.S. Department of Housing and Urban Development (HUD) construction and safety standards. This certification is a requirement for all manufactured homes produced after June 15, 1976. The HUD Tag serves as a visual indication that the home meets federal standards for safety, durability, and quality. Physical Description - 2" x 4" Red overlay with silver background. Commonly located on the exterior of the home near the baseboard trim.

A legal process by which a party who is holding property or funds that are subject to competing claims asks the court to determine the rightful owner or recipient. This legal action is commonly used when two or more parties make conflicting claims to the same property, and the stakeholder (often called the "stakeholder" or "interpleader") seeks protection from potential double liability.

Refers to the most recent deed that has conveyed ownership of a property and contains the current vesting information. In real estate, the term "vesting" refers to the way in which the ownership of a property is held. The last vesting deed is a crucial document that provides information about the current legal owner or owners of the property.

A detailed and precise way of identifying and describing a particular piece of real property. This description is used in legal documents such as deeds, mortgages, and other real estate-related agreements to accurately define the boundaries and location of the property. Legal descriptions are essential for ensuring clarity in property transactions and avoiding ambiguity about the exact parcel of land involved.

Also known as a Lender's Policy or Loan Policy: a type of insurance that protects the financial interests of a mortgage lender in a real estate transaction. It is distinct from Owner's Title Insurance, which protects the property buyer/owner's interests. Both types of title insurance are often issued simultaneously in a real estate transaction.

A legal document issued by a probate court that authorizes the named executor or personal representative to administer the estate of a deceased person. This document is commonly required to manage and distribute the assets of the deceased individual in accordance with their will.

A legal claim or charge on property as security for payment of a debt or for the discharge of an obligation.

Grants specific and limited powers to the agent for a particular purpose or within a defined timeframe. It is often used for specific transactions or events.

A person licensed by the Washington Supreme Court under Rule 12 of the Washington Supreme Court's Admission and Practice Rules (APR). A LPO is licensed to select, prepare, and complete approved documents for use in closing a loan, extension of credit, sale, or other transfer of real or personal property. LPO's are held to the same standard of care as a lawyer when performing the services authorized by the LPO license.

Also known as a construction lien or contractor's lien, is a legal claim placed on a property by a contractor, subcontractor, or supplier who has provided labor or materials for a construction or improvement project but has not been fully paid. This type of lien is a legal remedy that helps secure the right to payment for work performed or materials supplied.

Mortgage Electronic Registration System: A computerized database that tracks changes in ownership and servicing rights of mortgage loans in the United States. MERS was created to streamline the mortgage process by eliminating the need for paper assignments when loans are bought and sold between banks and other entities.

A system of describing land boundaries that has been historically used in real estate surveys and legal descriptions. This method relies on physical features of the land and direction and distance measurements to establish boundaries. Metes and bounds descriptions are often found in older land deeds, especially in areas where this system was traditionally used.

A legal document that outlines the structure, rights, responsibilities, and operating procedures of a limited liability company (LLC). It is an internal document and is not filed with the state but is crucial for the proper functioning of the LLC. The operating agreement is created by the members (owners) of the LLC and serves as a contract governing the internal affairs of the company.

A type of insurance policy that protects a Buyer's or new property owner's interest in a real estate transaction. It is distinct from lender's title insurance, which protects the financial interests of the mortgage lender. Both types of title insurance are commonly issued together during a real estate closing.

Both types of maps or drawings that depict the division or layout of land into lots, blocks, streets, and other relevant features. These documents are typically associated with land development and subdivision processes, and they serve as a way to legally define and record the layout of the land for various purposes.

A dated formal report that sets out in detail the conditions under which a policy of title insurance would be issued on a particular parcel of land. Its sole purpose is to facilitate the issuance of a Title Insurance Policy and are in accordance with the Washington Land Title Association guidelines.

A legal proceeding to establish clear title to a property by resolving any disputes or claims.

A legal document used to transfer interest in real property from one party to another. Unlike a warranty deed, a quitclaim deed does not provide any guarantees or warranties about the quality of the title being transferred. It merely conveys whatever interest or claim the grantor has or may have in the property at the time of the transfer.

A tax on the sale of real property. All sales of real property in the state are subject to REET unless a specific exemption is claimed. The seller of the property typically pays the real estate excise tax, although the buyer is liable for the tax if it is not paid.

Refers to the process by which a lender releases or transfers the title or deed of trust of a property back to the borrower upon the repayment of a mortgage or loan. It is a crucial step in the mortgage process, signifying that the borrower has fulfilled their repayment obligations, and the lender no longer holds a claim on the property.

A fee paid to the county recorder's office to record the deed and other documents related to the property transaction.

Typically refers to the stage in a real estate transaction or mortgage process when a document, such as a deed, is ready to be officially recorded in the public records. Recording is the act of submitting certain legal documents to the appropriate government office, usually the county recorder's office, to make them part of the public record. Once a document is recorded, it becomes an official and publicly accessible record.

Refers to the process of notarizing documents online using audiovisual technology and electronic signatures. In a traditional notarization, the notary public and the signer must be physically present in the same location. RON allows the notary and the signer to be in different locations, connecting through a secure online platform.

A document used in real estate transactions in the United States. It was commonly known as the HUD-1 Settlement Statement for older transactions prior to August 2015. The purpose of the Settlement Statement is to provide a detailed breakdown of all the costs associated with a real estate transaction. This document is typically prepared by the Closing Agent or Escrow Officer and is provided to both the buyer and the seller during the closing process.

Refers to the legal right or permission granted to an individual or entity to sign documents on behalf of another person, organization, or entity. This authority allows the designated individual (the signatory) to legally execute agreements, contracts, or other legal documents, binding the party they represent to the terms and conditions outlined in the document.

A type of deed used in real estate transactions that offers a high level of protection to the buyer. It is a legally binding document used to transfer ownership of real property from one party to another. The term "statutory" indicates that the form and content of the deed are governed by statutes or laws, providing a standard template for use in a particular jurisdiction.

Typically refers to a subsidiary or secondary escrow account within a larger escrow arrangement. In the context of real estate transactions, the term may be used to describe an additional layer of escrow services or a separate account used for specific purposes.

At Fig, our Escrow Officers have Assistants and Processors that work to clear title before closing. Everything from collecting opening documents, requesting mortgages payoffs, HOA Dues, lienable utilities, prorating property taxes, clearing liens and much more.

A professional who conducts a thorough examination of public records to determine and verify the legal ownership of a property and to identify any liens, encumbrances, or other issues that may affect the property's title. The primary goal of a title examiner is to provide a clear and accurate history of the property's ownership, also known as the chain of title.

Insurance against loss resulting from defects of title of public record.

A title insurance professional who is responsible for overseeing the title process for real estate transactions. The role of a Title Officer involves assessing the risks associated with a property's title and facilitating the issuance of title insurance policies.

In the context of real estate and title insurance, refers to a centralized database or repository of property records and title-related information. Title plants are used by title insurance companies, abstractors, and other professionals in the real estate industry to conduct title searches and issue title insurance policies.

An examination of public records to determine and verify a property's legal ownership and to identify any liens, judgments, or other claims.

In real estate, vesting describes how the ownership of a property is structured.

Also known as a like-kind exchange or a tax-deferred exchange, is a provision in the United States Internal Revenue Code (Section 1031) that allows investors to defer capital gains taxes on the sale of certain types of investment properties. The exchange allows for the substitution of one property for another of like kind, hence the term "like-kind exchange."