The Big Three -Endorsements required with almost all lenders’ policies:

Name

Price

Purpose

“Comprehensive” Restrictions-Encroachments-Minerals

$100.00

Affirmatively insures a LENDER against the following matters in addition to those contained in lender’s policy jacket and schedules: a. The existence of CC&R’s which would cause the lien of the trust deed or mortgage to terminate OR would cause loss to the lender if it acquired title through a foreclosure proceeding. b. Encroachments onto or off of the property, other than those shown on Schedule B of the policy. c. Damage to the existing improvements on the property if the owner of the easements shown in the policy uses them for their intended purpose. d. Damage to the improvements due to the exercise of mineral rights. e. Removal of the improvements due to a final court order or judgment.

Location of Improvements Endorsement

N/C with 209 or issued alone: $50.00

Identifies address of insured property by street and/or mailbox number.

EPA or Environmental Lien

N/C

Provides coverage over environmental lien filed under Federal or State statutes. Note: The endorsement specifically says that it is valid only if the property described in the policy is residential in nature.

Other Common Endorsements:

Name

Price

Purpose

Elimination of Exceptions

$50.00

Eliminates an exception previously shown on an existing Owners’ or Lenders’ policy (Most commonly used to remove the survey and construction lien exceptions after completion of construction. )

Re-recording

$50.00

Reflects re-recording of the insured document. Fee may be waived upon consideration of the reasons for re-recording.

Policy Date-Down

$50.00 issued within 90 days of closing; $150.00 after 90 days

Provides COMPLETE policy date-down for period up to one year after insured transaction. Certain restrictions apply; consult title officer for guidelines.

Limited Coverage Loan Policy Date Down

N/C
(as long as policy is paid for)

Updates LCLP to show only the recording of new deed of trust. No other exceptions may be shown therein. This endorsement completes the policy and is made a part thereof as the policy is not complete without the endorsement to insure the trust deed shown therein.

Assignment of Beneficial Interest

$50.00

Insures the assignee under a deed of trust that their assignment is recorded and valid.

Variable Rate Trust Deed

$50.00

Insures lender that changes in the interest rate provided for under the note and trust deed do NOT make the trust deed unenforceable or cause it to lose priority.

Foundation

5% of basic rate (min. $50.00)

Offers affirmative coverage regarding survey (boundary line & encroachment) issues to a lender under a STANDARD policy, which otherwise offers no such coverage. This is almost always in connection with a construction loan.

Line of Credit

$50.00

Insures the lender that advances made under the line of credit agreement after the original recording date have the same priority as the original trust deed provided that the terms of the original trust deed have been complied with. Trust deed must have line of credit language.

Planned Unit Development

$50.00

Insures lender of priority over any lien or charges and assessments at date of policy by any association of homeowners.

Condominium

$50.00

Insures lender that the condominium is legally created under Oregon statute, legally assessed as a separate lot, and that there are no violations of the condominium restrictions or rights of first refusal that impair the borrower’s title to the unit. Cannot be issued on just a planned unit development, unless it is a legal condominium.

Guarantee Date Down

N/C

Used to date down a litigation/foreclosure guarantee, which is in policy format. As many endorsements as needed for purpose of foreclosure or litigation.

Manufactured Housing Unit

$50.00

Insures the lender that under Oregon law, the manufactured home on the property is part of the real property (like a house) rather than personal property (like a car or boat). Some restrictions as to which policy form this may be issued with.

Modification

$100.00

Insures lender that a modification of its insured deed of trust has been recorded and nothing has happened to affect its priority, other than the matters stated (new taxes, construction liens, prior modifications).

Revolving Credit Line Increase

Varies -
Consult title officer.

Provides lender assurances that any advances issued in connection with an increase in a previously recorded line of credit have priority comparable to those issued under the original deed of trust.

Balloon

$50.00

Insures the lender under a trust deed with a FNMA Balloon Rider attached against unenforceability of the trust deed due to the balloon provisions or against loss of priority in the event that the borrower extends the trust deed under the Conditional Right to Refinance contained in the rider.

Deletion of Creditors’ Rights Exclusion

Varies -
Consult title officer

Deletes exclusion regarding creditor’s rights from policy jacket. Usually routine if requested by lender; can also be done for insured owner, but more questions likely to be asked. Limited to 1-4 unit family residential only. For similar coverage for commercial, industrial or more than 5+ unit residential properties, the 1970 ALTA form policy will be issued.

Partial Release

$50.00

Insures a lender who has recorded a partial release of its deed of trust that its priority position is unchanged as to the remaining property.

Modification of Arbitration Provisions

$30.00

Deletes or modifies the provisions regarding mandatory arbitration in some claim situations from the policy jacket.

Primarily Commercial Endorsements:

Name

Price

Purpose

Zoning

Varies -
Consult title officer

Insures lender or owner that property has a specific zoning designation and that a certain use (usually taken directly from the zoning code and always matching the actual use of the property) is permitted under that designation. Usually used for commercial projects.

Survey

$50.00

Insures that the property described in the property is the same property shown on a specified survey. Requires actual full ALTA/ACSM survey (not inspection, mini boundary survey or foundation survey).

Contiguity

$50.00

Insures that two or more parcels are contiguous to one another. Can apply to either a Parcel I, Parcel II situation or to a situation where there is one legal description that encompasses multiple tax lots or individual lots in a subdivision that adjoin (cannot have streets or other barriers between properties).

Access

$50.00

Insures that the property described has access to a legally dedicated and physically open street. (May be by way of an insured easement.)

Shopping Center

Varies -
Consult title officer

Offers assurances regarding various matters contained in a recorded Shopping Center Agreement. (not just that the property is a shopping center.)

Additional Advance

Varies -
Consult title officer

Insures the priority of additional advances under a previously insured deed of trust. Trust deed must contain additional advance provisions.

Bondholder’s

$50.00

Changes verbiage in the policy jacket to apply to a loss claim situation where the claimants are numerous bondholders rather than one company or individual.

Bondholder’s Lease/Sublease Validity

$100.00

Insures bondholders as to the validity of a lease (normally in connection with a sale/leaseback in connection with a bond issue).

Priority of Advance

Varies -
Consult title officer

Insures priority of disbursements under a construction loan. May or may not include coverage against unrecorded construction liens; if it does, a substantial early issue fee is required.

Construction Lien

Varies -
Consult title officer

Insures lender that there are no recorded construction liens as of a specified effective date. Must be purchased at time of policy, either individually or in packs of ten.

Assignment of Lease

$50.00

Insures the lender that their assignment of lease (given as additional security for a deed of trust) is valid and that no prior assignments exist other than those shown on Schedule B of the policy.

Encroachment into Easement

5% of basic rate (min. $200)

Insures lender against loss or damage due to the encroachment of a building into an easement area

No Encroachment into Easement

$100.00

Offers affirmative assurances that the building located on the property does not encroach into the easements shown on Schedule B. Requires a survey to establish locations.

Tie-In

$200.00

"Ties" the coverage contained in one title policy to another issued by the same underwriter. Requires prior approval to issue.

Substituted Insured

$50.00

Modifies policy verbiage to allow for changes in ownership that are not conventional sales, such as corporate mergers or reorganizations. Can also apply to individual situations, usually a deed from an individual to their trust. May also add to owner’s policy to continue coverage after an individual deeds to their trust. Owners policies only.

Ones We Never Use - (or, Hardly Ever!)

Name

Price

Purpose

Non-Imputation

Varies -
Consult title officer

Insures specific categories of buyers or lenders against matters that might be "imputed" to them by operation of law in spite of their lack of actual knowledge.

Owner’s Inflation Protection

$150.00

Offers a residential owner limited increases in the amount of owner’s coverage to account for increases in value due solely to inflation. (1-4 unit residential only)

Street Assessment

$50.00

Insures lender that there are no street assessments affecting the property other than those shown on the policy. Certain risks involved regarding type of policy issued. (Caution Legal Counsel approval required).

Truth in Lending

$50.00

Insures lender against termination of the lien of their deed of trust due to violation of Truth in Lending laws.

Violation of Setback Provisions

$50.00

Insures lender against loss due to violation of setbacks. Caution: risks may include search for zoning matters.

HUD Endorsement

10% of basic rate ($50 min. $250 max .)

Insures HUD as to continued priority when property subject to a HUD loan is transferred and the loan is assumed.

HUD Assignment Endorsement

$50.00

Offers same assurances as assignment of beneficial endorsement but specifically refers to HUD as assured.

Last Dollar

$50.00

Changes policy provisions relating to the reduction of policy coverage as payments are made. Used when the property insured is not the entire security for the loan. The loan may be additionally secured by personal property or other real property not covered by the policy. (Legal counsel approval required).

Liability Non-Cumulative/SBA

$50.00

Insures lender that in the event a preliminary report or resulting title policy omits mention of a recorded lien, the company will not defend a claim against the policy by alleging that because of the omitted lien, there was no equity in the property when the loan was made. Only for certain types of financing all of which are secondary, not for acquisition loans. Restrictions on issuance of this endorsement. (Legal counsel approval required).