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What does a title commitment (binder) show before closing?
A title commitment states that the title insurer will issue a policy once listed requirements are met (such as paying off existing liens) and lists exceptions the policy will not cover. It is based on a search of the public records; the final policy is issued after closing (Fannie Mae Selling Guide, Chapter B7-2 (Title Insurance)). Source: Fannie Mae Selling Guide, Chapter B7-2 (Title Insurance) (as at 11 Oct 2026).
Confusing the title commitment with the final title policy.
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