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Understanding ID Affidavit
What’s in a name? When a title company seeks to uncover
matters affecting title to real property, the answer is, “Quite
a bit.”
An ID Affidavit provides title companies with the information
they need to distinguish the buyers and sellers of real
property from others with similar names. After identifying
the true buyers and sellers, title companies may disregard
the judgments, liens or other matters on the public records
under similar names.
To help you better understand this sensitive subject, below
are answers to common questions relating to ID Affidavits.
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What is an ID Affidavit?
A Statement of Information is a form routinely requested
from the buyer, seller and borrower in a transaction where
title insurance is sought. The completed form provides
the title company with information needed to adequately
examine documents so as to disregard matters which do
not affect the property to be insured, matters which actually
apply to some other person.
What Does an
ID Affidavit
Do?
Every day documents affecting real property – liens, court
decrees, bankruptcies – are recorded. Whenever a title
company uncovers a recorded document in which the
name is the same or similar to that of the buyer, seller or
borrower in a title transaction, the title company must ask,
“Does this document affect the parties we are insuring?”
Because if it does, it affects title to the property and would,
therefore, be listed as an exception from coverage under the
title policy.
A properly completed ID Affidavit will allow the title
company to differentiate between parties with the same
or similar names when searching documents recorded
by name. This protects all parties involved and allows the
title company to competently carry out its duties without
unnecessary delay.
ID AFFIDAVIT - WHY IS IT NEEDED?




