Executive Title

Executive Title Co.'s response is attached, thank you.When a buyer purchases property a title search is performed.  Routinely in a search we will discover that a lien has been filed.  We investigate every lien and determine if the lien affects our transaction.  Some closings where a...

common name is involved may pull numerous liens.  In this case, a lien was filled against a [redacted].  Our seller was [redacted].  With a name this close, we call the lien holder to establish if the lien matches our seller.  We provided the social security number to the lien holder, The Commonwealth of Kentucky, and ask if the social security number matches the filed lien.  In this case the social security numbers were not a match and therefore the lien does not attach to our property.  Furthermore, our seller has lived in this property since 2012.  The lien was filed in 2014 as an unemployment lien.  So now we have established that the middle initial does not match, the social security number does not match and the seller did not live in the address shown on the lien at the time of filing.  At this point we have cleared the lien and established that it does not affect the transfer of this property.Additionally, we take another step.  We have the seller sign an affidavit at closing that shows their social security number and they clearly state that the lien does affect the property being transferred.  The buyer was provided a copy of this affidavit.Furthermore, the buyer was issued a title insurance policy that contains no exceptions for the lien.  In a worst case scenario where all the above turned out to be incorrect, the buyer would be covered for the full value of the claim without cost to defend or expense out of their own pocket.  At no time would the buyer’s “life savings” be in jeopardy.Ms. [redacted] has called into our office and all of this has been explained to her in detail.  She has spoken to both the office manager and the attorney who closed her home.  Ms. [redacted] wants a lien release, but since the lien is not against our seller, no release can be obtained.  There is an active lien against a person of similar name.  This happens all the time and all title insurance companies use a similar process to clear the liens.  There have been no shortcuts taken.  All necessary steps to close a loan and issue a title policy have been followed.  Ms. [redacted] has clear title to her home and that title is insured so that no prior lien would cause her to lose her home or equity.