- February 15, 2001
- All Issuing Offices in California
- Expedited Searching Procedure for Refinance and Equity Loan Transactions
The following Underwriting Bulletin is for expediting the searching procedure for refinance and equity loan type transactions, on residential property only.
The policy being issued is an ALTA Loan Policy, with the normal issuance of endorsements, including the CLTA 103.3.
The expedited search procedure will not require the use of a starter. Since you will not have a starter showing the CC&R's and easements, you will use a generic exception for all recorded CC&R's and easements.
Type of Transaction:
- Refinance or equity loan transaction
- Single-family residential (condominium)
No starter will be required and you will search from the current recorded deed if the following criteria are satisfied:
- The last recorded deed shows that documentary transfer tax was computed
on the full value of the land;
- The last recorded deed and concurrent deed of trust is in favor of a financial
institution in the amount equal to at least 80% of the sales price as based
on the documentary transfer tax;
- The last recorded deed transaction was insured by a title insurance company;
- Neither the last recorded deed nor your current order involves a construction
- You have run the General Index on grantees in the last recorded deed and
any subsequent owners; and,
- You show an "office information note" on the policy issued in your transaction stating that it cannot be used as an expedited search starter in a subsequent sale. O.K. for a subsequent refinance or equity loan transaction.
Show the following exceptions in Schedule B of both the Preliminary report and the Policy:
- Covenants, conditions and restrictions, if any, appearing in the public
- Any easements or servitude's appearing in the public record.
If you have any questions regarding the above procedures, please contact your Stewart Title Guaranty Underwriter.
THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.