In one sentence
A title policy exception for matters a survey would disclose, removable or narrowed by delivering an acceptable survey.
The longer version
Standard title policies except survey matters until an acceptable survey is provided, at which point the exception is deleted or narrowed to specific items. This is a routine but time-sensitive interaction between survey and title.
Clearing the survey exception is a common closing dependency: the survey has to arrive, be acceptable, and be processed by the title company.
Common questions
- What is the survey exception in a title policy?
- A standard exception excluding matters an accurate survey would disclose, such as boundary issues and encroachments.
- How is the survey exception removed?
- By delivering a current survey, usually to ALTA/NSPS standards and certified to the title company, so the insurer can delete it or replace it with specific survey matters.
- Why does the survey exception matter to a lender?
- Because left in place, it excludes coverage for anything on the ground that conflicts with the record, which is exactly the risk a lender wants insured.
Keep reading
- The commercial loan closing checklistWhat goes on the list and who owns each line.
- The due diligence checklist, built to be runChecklists as systems, not documents.
- The commercial loan closing processThe five stages from term sheet to funded.
- Due diligence softwareThe request list, the owners and the dates in one place.