- February 01, 1998
- All Maryland Policy Issuing Agents
- Revised Underwriting Policy Regarding Surveys for Transfers, Refinances and Second Trusts on Residential Properties in Maryland
1. This Bulletin restates, revises and supersedes District Bulletin 94-02 dated November 1, 1994.
2. As stated in Bulletin 94-02, Stewart Title does not require a location survey in order to issue its loan policies without the so-called survey exception on 1-4 family residential properties located in Maryland, PROVIDED that the buyers/borrowers execute an affidavit in the form located in the references section at the end of this bulletin. Construction loan policies are not covered by this Bulletin with surveys still being required.
3. This underwriting policy applies to both transfers (new as well as previously owned homes) and refinances. It applies to properties improved by free standing dwellings as well as townhomes and to lots up to 25 acres in area.
4. If the loan policy to be issued is our standard (long form) ALTA 1992 and no survey is obtained, you must issue the survey endorsement in the format located in the references section at the end of this bulletin as an attachment to the commitment and the loan policy. However, if you issue one of the various short form policies available from Stewart no policy endorsement need be issued.
5. It should be understood that simply because Stewart Title does not require a satisfactory location survey in order to issue Lenders Title Policies with survey coverage does not mean that location surveys no longer have a place in residential real estate transactions. On the contrary, informed buyers will continue to insist on them for their own protection, and all buyers should be encouraged to obtain one. Also, be sure to check with lenders to make sure they have not required a survey in their loan commitment letter or closing instructions. You can expect that due to pressure from investors, some lenders will continue to require location surveys regardless of our policy in this regard.
All questions or requests for clarification should be directed to Company Counsel.
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.
- Bulletins Replaced:
- Related Bulletins:
- MD000004 Revised Policy Regarding Deletion of Survey Exception from Lenders Title Insurance Policies on Properties in Maryland
- Underwriting Manual:
- 5.32 Extended Coverage
- Exceptions Manual:
- MD Survey Affidavit 1994