What should I check for liens and title problems before buying my first rental?

Both, honestly. And it's smart that you're asking before you're under contract. The title company's job is to search the public records, find liens, judgments, back taxes, and ownership problems, and then issue title insurance. Make sure you buy an owner's policy, not just the lender's policy. The lender's policy protects the bank. The owner's policy protects you. But here's why I'd still do a little digging yourself before you write an offer. The title search usually happens after you're under contract. If there's a mess, you've already spent time and money on inspections and appraisal. A quick look at the county property records and tax collector's site can save you from chasing a bad deal. On a rental specifically, also check things a title search won't always flag: - Open or expired permits, and code violations with the city - Utility balances that can follow the property in some areas - HOA dues or special assessments if it's in an association - Existing leases and security deposits you'd be taking over. Get copies and tenant estoppel letters if it's occupied. I'm licensed in Virginia, so what follows the property versus the owner varies a bit by state. Your title company or a Florida real estate attorney can tell you what to look out for locally in Lakeland. Short version: let the title company do the official search, buy the owner's policy, and do your own quick look first.

Rudy, the title company does the formal search, but you should still ask for the preliminary title report early and read it yourself, because that is where surprises show up while you can still negotiate or walk. Once you are under contract, request the preliminary report (a commitment in some states) right away. Look at four things: recorded liens (mechanic's, HOA, judgment, and IRS liens), unpaid property taxes, easements and encroachments, and any recorded restrictions. Anything listed has to be cleared at closing or you should negotiate who pays. Buy an owner's title insurance policy, not just the lender's. The lender's policy protects the bank only. For a rental, also check open permits with the city, because unpermitted work and code violations do not always show up in a title search but can still become your cost. On the rental side, ask for the rent roll, leases, and security deposit transfers, and confirm the tenants' status in writing through an estoppel letter. I am a real estate professional, not an attorney, so have a real estate attorney review anything unusual on the report. If you are looking at rentals in Palos Verdes or the South Bay, I would be glad to help. My name is Zoltan Peresztegi. Zoltan

The title company typically handles the title search, which includes checking for recorded liens, unpaid property taxes, and other title issues. As a buyer, you don’t necessarily need to do all of that yourself, but it’s still important to review the preliminary title report and ask questions about anything that comes up. I’d also recommend confirming that any outstanding issues are resolved before closing. If you’re working with a real estate agent, they can help you navigate the process and make sure you know what to look out for!

This is typically done through title search with a title company. Keith Jean-Pierre Managing Principal The Dapper Agents Real Estate Operations in ALL 50 States

Let the title company handle the formal search, Rudy. That's their job. Once you're under contract, they'll check the public records for recorded liens and unpaid taxes, then issue title insurance. Get an owner's policy and not just the lender's, because the lender's policy only protects the bank. Your own digging pays off earlier. Before you make an offer, a quick look at the county's online property and tax records can flag back taxes or a strange ownership history, and it's free. One gap worth asking about: open permits and code enforcement issues don't always show up in a standard title search. Ask your title company if they can run a municipal lien search. On a rental that matters, because you'd be the one fixing it as the new owner. I'm licensed in California, not Florida, so confirm the local specifics with a Lakeland agent or your title company. Alla Novytska, Realtor®, JohnHart Real Estate, DRE #02254775

I would rely on a title company for peace of mind! They do this for a living!