8315 W. 10th Street, Indianapolis IN 46234. 
317-214-6023

You don't need to let the hectic pace of the busy season stress you out, even when it begins with the summer rush. 

You can keep your real estate business thriving during the busy season by making a plan, automating manual duties as much as possible, and obtaining proper support. 

This allows you to enjoy some "me time." We conferred with many real estate experts and agents to understand the best productivity tips. 

The Best Productivity Tips For A Real Estate Business On Hectic Season

Here are the real estate business tips you can consider when you are in a busy season in your business:

1. Work With A Virtual Real Estate Assistant

Real estate virtual assistants are a lifesaver, and they don't have to cost an arm and a leg. In reality, a knowledgeable real estate assistant works as a third arm for your business, keeping day-to-day tasks moving. At the same time, you concentrate on the bigger picture.

Some outsourcing businesses spend a lot of emphasis on the real estate industry; their assistants have the necessary training. This lets your VA start immediately with client leads, assistance, title insurance, escrow, and closing documents.

2. Use Streamline Printed Materials

By having your designer or VA send to the printer and your credit card on file, you can save time by sending postcards for open houses and one-sheeters that purchasers take with them. Instead of uploading lists and sending specs, many printing companies can produce and mail on demand. Use a trusted print and mailing provider.

real estate agents working together

3. Make Time Blocks And Break Times

When everything works without a schedule, no one can successfully run a business and operate continuously around the clock. Plan your day with time blocks for the things you must do, as well as breaks for meals, stress relief, and other leisure moments. 

You have enough time to look after yourself. Even the most hectic among us do. You can concentrate better and get more done for the rest of the day after those 15 minutes of downtime. Additionally, it gets easier to maintain consistency as you get into the practice of taking breaks.

4. Make Follow-Up Emails Automated

Technology intimidates many people, particularly when it comes to databases and code. Depending on whether a buyer lead has become a client, you may configure the email flows to send a different email automatically.

Send a follow-up email a year after closing. This keeps them in mind and gets referrals. This automation is simpler to use than it may seem and works for you 24/7, so you can concentrate on your clients rather than lead follow-up.

5. Make A Template For The Documents You're Tired Of Making

Templatize client-specific documents. Dynamic inserts can often contain specific paragraphs or pages in a PDF. After templating, enter the client's name and property details. Copy and paste or use an automated system to insert content if everything else is the same.

By doing the above best productivity tips, you can save a lot of your time in your real estate business.

What other productivity tips do you recommend for fellow real estate agents?

Build-to-rent, also known as "BTR," is a real estate investing strategy in which an individual or organization purchases land to construct one or more residences to lease them out on a long-term basis. 

This strategy differs from the build-to-sell strategy in that the investors will keep ownership of the properties they purchase to generate passive income.

Why Build-To-Rent Is Bound To Make An Impact In A Buyer’s Market?

Build-To-Rent is a wonderful alternative in a buyer's market compared to a fix-and-flip investing plan since it allows you to build the home and produce revenue, then sell it whenever the market turns back in favor of the sellers' advantage.

You are not restricted to constructing a single dwelling if you build-to-rent it out. More prominent companies will purchase extensive tracts of undeveloped land to build entire communities of rental homes and, in some instances, entire neighborhoods. 

In addition, with a build-to-rent plan, you are not restricted to constructing only single-family houses. You can also build:

What Are The Benefits Of Build-To-Rent Projects?

The investor benefits in several ways regarding more substantial build-to-rent projects. Because the investor controls the land, they can provide amenities that allow for higher rentals, such as playgrounds, pools, onsite management, and other things. And because the tenant is renting inside a community, it becomes more of a lifestyle, benefiting the individual, which means the investor will see less turnover compared to a standalone house with no amenities or a feeling of community.

You won't have to worry about uncovering damaged foundations or decaying frames when constructing to rent, which is another advantage of this business model. You can begin with energy-efficient appliances and windows, incorporate solar panels and other cost-reducing supplies, and more. This makes it simpler to make a profit more quickly and reduces the number of hurdles that need to be overcome to have a property ready to be put on the market. 

three houses in peaceful neighborhood with car

Builder warranties also provide additional peace of mind. This is because the warranty may cover the cost of repairing problems with the house that the builder causes during the first few years after purchase. This approach will save you money compared to the expenditures associated with maintaining a fix-and-flip paradigm.

However, building to rent as a real estate investing method has significant drawbacks. Because the upfront costs are typically higher and you're not selling for an immediate profit, the ROI on this investment may be lower than a fix and flip. A title check can help you avoid problems like finding out that some property is not designated for residential use. 

Last but not the least, ensure there are no bylaws prohibiting a set number of rental units if you're purchasing a plot of property that already has a community. The build-to-rent method won't work out, so you'll have to sell the land again or build to sell. If you know tenants prefer to rent to buy, such as if you are close to a military post, building to rent is an excellent real estate investing plan.

In this article, we will present what title insurance covers and why you should get title insurance. Here is the information you may consider.

What Does Title Insurance Do For You?

Title insurance is indemnity insurance that protects home buyers and lenders against financial damage that may be incurred due to flaws in the title to a piece of real estate. The most typical kind of title insurance is called lender's title insurance, which the borrower buys to protect the lender. The other type of title insurance is called owner's title insurance. The seller typically pays for it to safeguard the buyer's equity in the property.

What Should You Know About Title Insurance?

Any transaction involving real estate requires a property to have a clear title. Before a title can be given, the title company must search for the property to look for any claims or liens of any type that may have been filed against it.

An examination of public records, also known as a title search, is performed to determine and confirm the legal ownership of a piece of property and establish whether there are any claims on the land. Incorrect surveys and unsolved construction code violations are two examples of blemishes that might contribute to the title being considered "dirty."

Lenders and homebuyers are protected against financial loss or damage by title insurance if a property's title or actual ownership has flaws, such as liens, encumbrances, or defects. Back taxes, liens from mortgage loans, home equity lines of credit (HELOCs), easements, and competing wills are all common claims that can be lodged against a title. Title insurance, as opposed to ordinary insurance, which protects against the occurrence of future events, protects against claims for events that have already occurred.

What Title Insurance Policy Typically Covers?

The following risks are typically covered by the basic owner's title insurance policy:

What Are The Types Of Title Insurance?

Lender's title insurance and owner's title insurance, which might include extended coverage, are the two types of title insurance that are offered. A lender's title insurance policy covers the lender if the seller cannot legally transfer the title of ownership rights to the borrower. Virtually all lenders require the borrower to acquire a lender's title insurance policy. The lender is the sole party protected by a lender's policy from financial loss. When a policy is issued, it indicates that a title search has been completed, which provides the buyer with some certainty.

There is a requirement for additional protection in the form of an owner's title insurance policy because title searches are not foolproof, and the owner continues to be in danger of monetary loss. You must obtain a lender's title insurance to obtain a mortgage loan; however, the owner's title insurance, typically accepted by the seller and given to the buyer as additional protection against title flaws, is completely voluntary.

After you have paid your mortgage in full and are no longer responsible for its payment, you should consider purchasing owner's title insurance on your property because you will now own a larger portion of it. Consequently, you must lose more money if you file a claim. This is a very important consideration if you intend to spend a significant amount of time in your house.

What Are The Possible Risks You May Have If You Don't Have Title Insurance?

If a title defect is present, the parties involved in the transaction are at severe risk if they do not have title insurance. Imagine a buyer who spends months looking for the home of their dreams, only to find out after the sale that the previous owner had outstanding property tax obligations. 

If the buyer does not have title insurance, then the buyer is completely responsible for meeting the financial obligations associated with this claim for past taxes. They will either have to pay the back property taxes or risk having the home taken away by the agency responsible for collecting the taxes.

Regarding title insurance, the coverage covers the buyer for as long as they own the property or are interested in it. This is the case regardless of how long the buyer has owned the property.

title insurance form and magnifying glass

Similarly, lenders' title insurance protects financial institutions and other mortgage lenders against flaws such as unregistered liens, access rights, and other encumbrances. A lender would be protected up to the mortgage amount if a borrower defaults on their loan and there are any problems with the title to the property.

Before purchasing a property, real estate investors should ensure that the property in question does not have a cloud on its title. For instance, homes in the foreclosure process can still have a few unresolved problems. Buyers should strongly consider acquiring owner's title insurance to safeguard themselves against unanticipated claims made against the property's ownership.

Why Should You Purchase A Title Insurance?

When a title defect is present, the parties involved in the transaction are at severe risk if they do not have title insurance. Imagine a buyer who spends months looking for the home of their dreams, only to discover that the previous owner has outstanding property tax obligations after the sale. 

If the buyer does not have title insurance, then the buyer is completely responsible for meeting the financial requirements of this claim for unpaid taxes. When buyers purchase title insurance, they are covered under the policy for the duration of their property ownership or interest. Similarly, the lender's title insurance protects banks and other mortgage lenders against unrecorded liens, unrecorded access rights, and other problems.

How Can You Purchase Title Insurance?

After the property purchase agreement is signed, an escrow or closing agent shall begin insurance. To protect everyone, lenders and owners often need policies. Title insurance is purchased once at closing. The owner's title insurance costs $500 to $3,500, depending on your state, insurer, and home price.

Closing” is the final part of the buying process where all necessary documents are signed, money is exchanged, and house keys are given out. Also called “settlement,” this stage includes the buyers and sellers, their brokers, and attorneys, as well as a person in control of the procedure (the settlement agent). The title company and title agency are additional players before or during the closure. 

In this post, we will define some key roles as they all play a factor in the closing process. 

Title Insurance

Title insurance protects the mortgage lender in case there’s a problem with the title of the house. For instance, another party files a claim against the property.

On the other hand, the buyer may also have this; however, it’s optional. Meaning, you can choose not to have title insurance although it’s recommended since it might protect you from financial losses or potential damages caused by a bad title.

Title insurance is always required by lenders, but buyers are free to opt-out.

If you want to learn more about title insurance, how it works, and whether you need it or not, click the link to read our recent post about it.

Who Is Involved In Title Insurance?

The parties involved in title insurance are the following:

Title Company

Is the title company the same as the settlement company? The answer is no.

Purchasers, builders, developers, and lenders can obtain title insurance directly from and be directly underwritten by a title company, such as IndyLegal. One thing to note is that the title company may or may not be involved in the real estate closing.

Usually, the title company frequently acts as an independent agent for a title insurance business and issues title insurance policies on its behalf. While an underwriting firm receives the actual insurance premium and assumes the risk of any loss under the policy, the title company just facilitates the paperwork for issuing the policy.

To learn more about what we offer here at IndyLegal and how we can help you, you may call us at 317-214-6023 or click this link.

Title Agency

A subcontractor who represents the title company in a real estate transaction is known as the title agency. 

Before a title business releases the insurance coverage, a title agency underwrites the title. In place of the title corporation, one of the many small title agencies that exist across the U.S. will attend the closing. Purchasers of real estate can select the title agent or title business they want to work with.

When it comes to the policy, any flaws that are discovered throughout their investigation will be covered by this coverage. The price of insurance is frequently incorporated into the closing fees for a property, and the majority of lenders need title insurance before a sale is completed.

The Settlement Agent

So, what does a settlement company do?

The settlement agent is in charge of the closing procedure.

The title agent or title business, as well as a real estate agent, mortgage broker, builder, lawyer, or bank, may serve as the settlement agent. Their role includes but is not limited to ensuring that all necessary documents, including the loan agreements, are signed, money is transferred, and escrow payments are released. They also give the homebuyer the option to purchase a title policy and guarantee that the lender's title policy is carried out.

Take note that the title company, title agent, and settlement agent might be a single participant or from different organizations.

Difference Between Independent And Affiliated Settlement Agents

A real estate agent, mortgage broker, home builder, or a bank are examples of settlement service providers. A settlement agent or title agent may be an independent third party or an affiliate of one of these entities. 

An affiliate is a company with one or more service providers that receives compensation from the agent, who in this case is the settlement service provider. Although the Real Estate Settlement Procedures Act (RESPA) forbids them, referral fees and kickbacks in the real estate industry nevertheless exist. 

To persuade the house buyer to choose the associated agency for settling/closing the transaction, the affiliated agent may provide a kickback in exchange for a referral from a settlement service provider. The settlement service may occasionally own a portion of the settlement or title agent.

black-woman-settlement-agent-talking-to-woman-homebuyer

A settlement agent that works independently of a settlement service provider is not connected to them and doesn't get paid extra for referring clients. Instead of using kickbacks, independent agents gain business due to the caliber of their services. Due to the referral fee that is incorporated into an associated agent's cost structure, consumers typically pay less for the services of an independent agent.

Independent agents do not perform one-stop shopping agreements and other cooperative ventures with settlement service providers. The fact that independent title agents make underwriting decisions based on good principles and without being influenced by referral fees is another advantage of their independence. Remember that the risk of a bad title does not fall on the kickback beneficiary; rather, the title agent is accountable for those risks.

You have the right to request an independent title agent rather than one who is affiliated with or suggested by a settlement service provider.

IndyLegal proudly serves buyers and sellers, banks and lenders, builders, developers, commercial agents and brokers, real estate brokers, and relocation companies in Indiana since 2008. If you want to learn how we can serve you better, contact us today.

The expense of title insurance when purchasing a home may be worthwhile to guard against ownership claims made by a prior owner. Homebuyers can choose to acquire either a lender's title insurance policy, which safeguards the lender's financial interests or an optional homeowner's title insurance policy, which safeguards you, the buyer.

The cost of title insurance depends on three things:

Let’s dive deeper into the costs of title insurance.

How Much Should I Pay For Title Insurance?

According to the Vice President Of Communications for American Land Title Association (ALTA), Jeremy Yohe, when a lender's policy and a homeowner's policy are purchased together, the overall cost of a title insurance coverage ranges between 0.5% and 1% of the purchase price. Also, when refinancing a loan, the lender's insurance will cost about 0.5% of the total loan amount.

If you’re wondering how much is the title insurance in Indiana, the answer is this:

The cost of title insurance usually varies per state; however, it usually depends on the price. Your chances of paying more for title insurance increase as your purchase price increases.

Meanwhile, if you obtained a homeowner's title policy when you bought your house, you won't need to purchase another one if you refinance because the coverage is valid for the duration of your ownership of the house.

What’s Included In Title Insurance Costs?

The inclusions in the title company costs could be listed when you receive a quote for title insurance. There are laws in some jurisdictions that mandate fees be itemized while in states, they might be combined into a single title cost quote. An escrow officer or your trusted title company can assist you in this matter.

More or less, it might include the following:

The title insurance quotation you get from a title company directly may not be the same as the information provided on your loan estimate. However, there’s no need to worry. Although title companies must disclose their costs differently by various state rules, the total should match that on your loan estimate.

The Consumer Financial Protection Bureau (CFPB) advises making sure the bottom-line figure corresponds with the title business costs on your loan estimate to minimize confusion with title insurance cost estimates.

How To Shop For Title Insurance?

Three days following your mortgage application, your lender is required to give you a list of settlement service providers along with a loan estimate. You are not restricted to the companies on the list; nevertheless, the list should offer email and phone numbers for numerous title companies.

If you’re looking for a reliable Title Service Company, IndyLegal is here to assist you all the way. Click the link to learn about what we offer.

Top 3 Tips When Shopping For Title Insurance

Tip #1: Get Ready To Haggle

If you plan to purchase a home, practice your bargaining skills. You might look around for title insurance if you’re planning to buy a home. If you live in a state where sellers often pay the owner's policy premium, you may need to haggle over the ultimate choice of title companies.

Tip #2: Ask For A Lower Interest

When refinancing, do not hesitate to request a lower interest rate. You will require a new lender's title insurance coverage each time you take out a new loan. For a price, get in touch with the title company handling your present loan. Title companies could offer a "reissue rate" to win your business.

Tip #3: Ask For A Discount

Ask about discounts if you want to have both the lender's insurance and the additional coverage provided by a homeowner's policy.

To learn more about title insurance, you may call us at 317-214-6023.

8315 W. 10th Street
Indianapolis IN 46234
317-214-6023

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