This is the second article, in a series that we’re publishing over the next couple of weeks that will add up to a simple guide to buying and selling real estate in Alberta. If you missed part 1 you can read it here.
The title can tell you a lot about a piece of property. Why would you want to review the title for a property you are thinking of purchasing? There are a number of reasons:
- The title will tell you the names of the legal owner(s) of the property. If you’re going to purchase a home you definitely want to make sure you’re purchasing it from the actual owner(s).
- The title will tell you whether the property is a single family home or a condo. This may seem like a simple question to answer just by looking at a property, but a detached home could be a "bare land condominium" and some half duplexes are condominiums.
- The title will tell you when the legal owners became the legal owners of the property, and it may tell you how much they paid for it.
- The title will indicate mortgages registered on the property.
- The title will indicated whether or not there are any liens, caveats, encumbrances or restrictive covenants, or any lis pendens on the property.
Understanding the title can be difficult and may require assistance. It’s interesting to know that in Alberta the title is guaranteed by the government (this is not the case in many other areas).
Sara and Sheldon
Happy New Year!
…and thanks for all these useful information!!!
It is great series of articles you are doing, but I realize feedback iz limited. To encourage feedback, maybe you could ask a couple questions or have poll, as I think the info is great, but nothing comes into my head to respond to your article.
Pulling Title can also let you know how much the property was purchased for.
For instance, you can get a real sense of how ridiculous this real estate market has become today when you look at the title and its says condo was purchased for $100K in 2005 but is being listed for $215K. LOL
Titles are sellers worst enemies. As one ridiculous bearish poster would say “The Ponzi Scheme is up” LOL
What is even better is you can pull the last title for free. Shows the last transaction on the property (usually the last purchase price of the property). Very interesting info to be sure
Cheers
*** Would love to know where you can pull the title for free. It is only five dollars before GST but I’d save hundreds of dollars if it was free. It doesn’t always show the consideration paid. The best step would be to review the title with your Realtor and Lawyer. – Sheldon ***
Sheldon,
I use the Alberta Registries website here:
https://alta.registries.gov.ab.ca/spinii/logon.aspx
Again, it will allow you to pull the last transaction for free. This is usually the last purchase but in cases such as estate settlements the last transaction usually does not include any purchase prices.
Cheers
Sean,
Sounds like a great resource but I did not know what to do once I registered and logged in. Could you help with a step by step search for a specific house for example?
I get my titles from spin as well but for the full title its 5 bucks. I am pretty sure you are not getting the full title and therefore not the full story behind the property.
Full titles aren’t free or every nosy neighbor would be pulling the title on your house to see how much you bought it for or how much your mortgage is.