I Still Have Credit

In recent years, credit line loans were very popular.  Often called a HELOC, or Home Equity Line of Credit, lenders would allow home owners to have a ‘line’ for up to 125% of the value of their home.  Once popular because some considered it to be an emergency fund, the use only when needed money.  And when making payments, you only paid on the money you have accessed, like a credit card.  During the recent economic times, most lenders have made it difficult, yet not impossible, to open new credit lines, using real property as collateral.

Once a person sells their property and pays off this loan, it is to be closed down completely so no access for funds may ever be made again.  Some have slipped through the cracks, as you would suspect.

Imagine, you sold your home 3 year ago and suddenly get checks in the mail with a letter saying you have funds available.  Hot diggy dog, lets go shopping…… and not pay the bill, because we sold that house.  Scary, but true,  it happens.  The good thing?  You as the new buyer have Owners Title Insurance that protects you so it isn’t YOU that has to pay back those funds the prior owner accessed.

In the State of Virginia, a lender is required to release the lien against the property within 90 days of its payoff.  Title Concepts tracks every payoff we make, ensuring that each lien is properly released by the lender, which in turns gives your clients the peace of mind knowing their property is secure.

Contact us for more information on how we can help you have a smoother closing tomorrow.