Title Company Recommendations for Foreclosure Auction Homes (Courthouse Steps)

[TJ Nowitzki]

Hi all,

I am about to start buying properties at foreclosure auction in California. Does anyone have a recommendation for a title company that provides title insurance once the deed is recorded and I take possession? I am going to flip the properties so I am mainly concerned with the ability to resell the property to buyers who are using conventional financing. 

I’ve talked to a few title reps and cant seem to find what I am looking for.

Thanks

[Peter Walther]

I suspect the problem is the Trustee does not give a Trustee's Deed to the high bidder immediately (unless the initial high bidder is an "eligible bidder") but must wait until after the requisite time period for eligible bidders to match the high bid.  Until the Trustee's deed is issued the high bidder does not hold title and so can't be issued an owner's title policy.

However, if you wanted to be creative and pay for a policy that might be rendered ineffective, ask the title agent if they'll issue you a policy insuring a contract interest (rather than a fee interest) with an exception for rights under SB 1079 (or more properly the law it became when the Governor signed it).