Buying in Terrell Hills comes with a lot of moving parts, and one document can make or break your confidence before closing: the title commitment. If you have ever skimmed the pages and felt unsure what it all means, you are not alone. Understanding the basics helps you protect your investment and avoid surprises. In this guide, you will learn how to read Sections A–D, what to watch for in 78209, and how to use the title commitment to keep your closing on track. Let’s dive in.
What a title commitment is
A title commitment is a title company’s promise to issue title insurance after closing if certain conditions are met. It outlines what the company will insure, what requirements must be completed before closing, and which exceptions the policy will not cover. You typically see two policies noted: the Owner’s Policy for you and the Lender’s Policy for your lender.
In Bexar County, the title search pulls from county public records and a title company’s local plant. In older neighborhoods like Terrell Hills, it is common to see long-standing deed restrictions, recorded easements, and historical lot descriptions. These items are not unusual, but you should understand how they affect your rights and plans for the property.
For a helpful primer on title insurance and title commitments, review the Texas Department of Insurance consumer guide. The Texas regulator offers plain‑language explanations of how title insurance works and what is covered. You can start with the TDI overview of title insurance and commitments by visiting the Texas Department of Insurance’s title insurance tips page.
- Read more: The Texas Department of Insurance explains title insurance and commitments in its consumer resources at the Title insurance tips page: TDI title insurance tips.
How to read Sections A–D
Different title companies format commitments in slightly different ways, but most Texas commitments group the content into four parts. Some also use Schedule labels (A, B, C). Here is how to read each section.
Section A: The basics you verify
Section A lists the effective date of the title search, the proposed insured parties, the type and amount of policy, the current record owner, and the legal description.
- Check that the seller’s name matches the record owner.
- Confirm the legal description matches your contract.
- Note the effective date. Items recorded after that date will not appear. If your closing date is far off, ask for an update before you sign.
Section B: Requirements to close
Section B lays out what must happen before the title company will issue the policy. Typical requirements include paying off existing loans or liens, recording the deed, collecting tax certificates, getting certain signatures, or obtaining probate documents when title comes through an estate.
- Treat these items as your closing checklist. Unmet requirements can delay closing or show an issue that needs legal cure.
- If you see a requirement for corrective deeds, spouse releases, or probate documents, flag it early so the seller and title can address it.
Section C: Exceptions that are not covered
Section C lists what the policy will not cover. This section often includes both standard printed exceptions and specific recorded documents like easements, restrictive covenants, liens, and mineral reservations.
- Read each exception carefully and ask for copies of any recorded instruments you do not recognize.
- Some exceptions are routine, such as current-year property taxes. Others can affect use and value, such as a utility easement crossing a planned pool area.
- Removing an exception usually requires paying off the underlying lien, curing the defect, or qualifying for a specific endorsement. Not every exception can be removed.
To understand the industry-standard commitment form and how it functions, you can review the American Land Title Association’s materials on the Commitment for Title Insurance. ALTA outlines the purpose and structure of the commitment and the relationship to the final policies. See ALTA’s resource: ALTA Commitment for Title Insurance.
Section D: Notes and next steps
Section D often includes notes from the title officer, references to surveys, guidance on endorsements, and instructions about documents still needed. It can also list the documents examined so you can request copies by instrument number.
- Look for instructions, such as “survey required” or “owner affidavit needed,” and make sure they are completed before closing.
- Ask the title officer which endorsements are available to address risks you care about.
Common exceptions in 78209 and why they matter
Terrell Hills is an established area with older plats and recorded covenants. Here are items you are likely to see in a Bexar County title commitment and what to do about them.
Ad valorem property taxes. Taxes are a first‑priority lien. You will typically see current-year taxes listed as an exception, and any delinquent taxes will need to be paid at or before closing. To verify status, check both the Bexar County Appraisal District and the Bexar County Tax Office.
- Look up values and exemptions at the Bexar County Appraisal District.
- Confirm balances and payment status with the Bexar County Tax Office.
Recorded easements and rights-of-way. Utility or drainage easements are common in older neighborhoods. Large easements across a yard can limit room for additions, pools, or fencing.
- Ask for the recorded instrument and have your surveyor plot it on the survey so you understand the exact location.
Restrictive covenants. Many Terrell Hills properties have recorded covenants that address use, setbacks, and architectural controls. If you plan renovations, read these documents alongside city ordinances.
- Request copies of the declarations and any amendments referenced in the commitment.
Mineral reservations or leases. In Texas, mineral rights are often severed. A broad mineral reservation or active lease can allow subsurface owners certain rights that affect surface use.
- Ask for the recorded mineral instrument and discuss potential impacts with the title officer. Endorsements for mineral risks are limited.
Mechanic’s liens. Recent renovations can trigger contractor liens. Title will require payoff or release to close.
- If you see a mechanic’s lien, request payoff and release documentation.
Mortgages, judgments, or tax liens. These must be resolved and released at closing.
- Confirm the title company has current payoff statements and will record releases.
Rights of parties in possession. If a property is occupied, this exception covers unrecorded tenant rights.
- Get copies of any leases and, when practical, tenant estoppels to verify terms and deposits.
Survey or access issues. Standard survey exceptions are common, and lenders typically require a current survey and a related endorsement.
- Review the survey for encroachments, fence line disagreements, or discrepancies with the plat.
To review local public records directly, use the Bexar County Clerk’s site and request the referenced instruments by number. Start with the Bexar County Clerk to learn how to search official records.
Timing in a Texas transaction
- Ordering. The buyer or the buyer’s lender typically orders the title commitment after you go under contract.
- Issuance. The title company issues the commitment after its records search, often within a few business days depending on complexity.
- Review period. Review your commitment as soon as you receive it, ideally during your contract’s option or inspection period so you can object in writing within deadlines.
- Updates. Because the commitment has a fixed effective date, ask for an updated commitment or re‑commitment before closing to catch new recordings. Lenders often require a recent update or gap coverage.
- Final policies. The owner’s and lender’s policies are issued after closing and recording, once the title company confirms all requirements are satisfied.
To better understand contract timelines and obligations related to title and closing, review guidance from the Texas Real Estate Commission.
Buyer checklist: what to verify
Use this quick checklist to spot items that merit a closer look:
Section A basics
- Record owner matches seller.
- Legal description aligns with the contract.
- Action: Ask for copies of the chain‑of‑title deed(s) if anything looks off.
Section B requirements
- Any corrective deed, spouse joinder, or probate requirement.
- Action: Treat as a red flag and ask the seller and title to start cure immediately; involve an attorney if complex.
Section C exceptions
- Mineral reservations or recorded leases.
- Large easements across the yard or driveway.
- HOA declarations and any assessment notices.
- Outstanding mortgages, judgments, or tax liens.
- Rights of parties in possession when there are occupants.
- Action: Request the recorded instruments; ask about possible endorsements or cure steps.
Survey matters
- Standard survey exception present or a new survey is required.
- Action: Order a current survey; review for encroachments or access issues.
Referenced but missing documents
- Action: Ask for copies of every instrument cited by number and read the granting language.
Timing and gap
- Effective date is weeks old.
- Action: Request an update before closing.
Common remedies and endorsements
- Cure at closing. Most liens and mortgages are paid and released at closing as Section B requirements.
- Endorsements. You may be able to purchase endorsements to expand coverage, such as survey, access, restrictions removal where available, or mechanic’s lien endorsements. Availability depends on title underwriting.
- Owner’s policy. In Texas, an owner’s title policy is strongly recommended. It is a one‑time premium at closing that protects you against many recorded or hidden defects after closing.
- Survey and inspections. A current survey helps identify encroachments or discrepancies that you can address before you fund.
- Legal review. For complex items like mineral reservations, probate‑derived title, or ambiguous covenants, consult a real estate attorney.
For a Texas‑specific perspective on title practices and forms, the Texas Land Title Association and ALTA both publish consumer resources that explain key concepts and common coverages. You can find ALTA’s explanations of the commitment form here: ALTA Commitment resource. The Texas Department of Insurance also offers consumer guidance here: TDI title insurance tips.
Practical timeline you can use
- Immediately after contract. Order title and deliver any existing survey to the title company.
- Within a few business days. Receive the title commitment and start your review.
- During the option or inspection period. Read Sections A–D closely, review the survey, and submit any objections within the contract deadline.
- One to three business days before closing. Request an updated commitment, confirm all Section B requirements will be met, and verify payoff statements and estoppels are in hand.
- At closing and after. Title pays off liens, records documents, and issues final policies once recording is confirmed.
How this protects your purchase in Terrell Hills
When you read the commitment early and ask targeted questions, you give yourself time to resolve issues and avoid last‑minute surprises. In Terrell Hills, where many homes carry legacy covenants, older easements, and detailed plats, that extra diligence preserves both your enjoyment and your resale value. Lean on your title officer for instrument copies and on your advisor to weigh risk, endorsements, and timing so your closing stays efficient and confident.
If you want a second set of eyes on a title commitment or need help prioritizing cure items, reach out. As a longtime Alamo Heights and Terrell Hills advisor, I bring valuation expertise and hands‑on transaction management to protect your interests from contract to close. Connect with Cory Bakke for local guidance tailored to your purchase.
FAQs
What is a Texas title commitment and why does it matter?
- It is the title company’s promise to issue title insurance if conditions are met, and it lists exceptions the policy will not cover, helping you spot risks before closing.
How do Sections A–D of a title commitment differ?
- Section A verifies basics, Section B lists closing requirements, Section C lists exceptions not covered, and Section D provides notes, instructions, and possible endorsements.
Which title commitment red flags are common in Terrell Hills 78209?
- Mineral reservations, large utility easements, restrictive covenants affecting renovations, mechanic’s liens after renovations, and survey or access discrepancies are common.
When should I review and object to title issues in Texas?
- Review the commitment as soon as you receive it, ideally during your option or inspection period, and submit objections within your contract’s deadline.
Where can I verify Bexar County taxes and recorded documents?
- Check property values at the Bexar County Appraisal District, tax status with the Bexar County Tax Office, and recorded instruments via the Bexar County Clerk.
