PRELIMINARY TITLE REPORTS

Prior to closing, both Realtors involved in a transaction receive preliminary title reports, also called "prelims." At closing, the buyers receive a copy as well. Within these reports are the relevant documents uncovered by the title company's search of the the recorded documents related to the property, including warranty deeds, deeds of trust and other liens, covenants, private agreements and easements that "run with the land." Any of these documents that "survive" the transaction (most everything besides the warranty deeds, liens, deeds of trust, and promissory notes that are transferred or paid off at closing) should have been provided to the buyers as a courtesy through the Realtors before the offer was made.

If you're purchasing without a Realtor, you might want to either try to search these documents yourself through the state recorder's office before making an offer, or include a clause in your offers requiring the seller to provide a preliminary title commitment within a few days of accepting the offer, with an escape clause if your review of the documents proves unsatisfactory. The title company will charge a fee, usually born by the seller, for preparing the preliminary title report.

Alaska, like many Western states, uses title insurance rather than a title search. But part of the insurance process involves a preliminary search to make sure the property is insurable. In older states, usually in the Midwest and the East, attorneys perform title searches. But there's no insurance to protect the seller or the buyer.