A title commitment is the title company's promise to issue a title insurance policy at closing if listed requirements are met. It matters because it previews what the policy will and will not cover, and it gives you a window to flag problems while you still have contract contingencies. Your first move: read Schedule A and Schedule B before that window closes.
TL;DR:
- Verify the insured names, policy amounts, legal description, and effective date against your contract, purchase price or loan amount, deed, and survey.
- Schedule B, Part I usually lists mortgage or lien payoffs, recorded transfer documents, premiums, and surveys, but new records can add requirements before closing.
- A current survey can narrow the survey exception; seller affidavits may address possession concerns, while lien payoffs or endorsements can resolve or cover specific risks.
- New public record matters can amend the commitment before closing, so compare the final policy with agreed cures and confirm negotiated endorsements appear.
- Raise disputed exceptions in writing during the contingency period, request cited records and payoff statements, and involve a real estate attorney for contested claims.
Table of Contents
- What a title commitment is and how it differs from a title policy
- Schedule A: what it contains and how to verify it
- Schedule B‑I: requirements you need to satisfy before closing
- Schedule B‑II: exceptions and what you can do about them
- How to read the commitment during your contingency period
- Practical checklist and red flags to watch for
- What happens after the commitment: amendments and the final policy
- When a survey or feasibility review changes the outcome
- Another path: survey and feasibility support for title‑related issues
- FAQ
- Sources
What a title commitment is and how it differs from a title policy
A title commitment is a preliminary document that a title insurance company issues after reviewing public records. It serves as a formal promise to issue a final title insurance policy after closing, provided specified requirements are met, and it typically arrives after you sign a purchase agreement but before closing day, going to both buyer and lender, according to StibbsCo's explanation of title commitments.
A preliminary report and a commitment often describe the same review in different markets, but the commitment is the operative contract setting conditions for coverage. The final policy comes later, after recording, and it reflects whatever was resolved or accepted from the commitment. Most commitments follow ALTA-style formatting, and the effective date on the document matters because it marks the cutoff of the title search, not the day you close.
Schedule A: what it contains and how to verify it
Schedule A covers the transaction's basic facts: the effective date, the type and amount of proposed policies, the insured parties, and the legal description of the property, as outlined by Texas National Title's breakdown of commitment schedules. Each entry limits what the policy will later insure, so a mismatch here can cause problems that are harder to fix after closing.
Verify these items against your own paperwork before moving forward:
- Confirm the insured party names match your purchase contract exactly.
- Check that the policy amount equals your purchase price or loan amount.
- Compare the legal description line by line against your deed and survey.
- Note the effective date and ask whether it is recent enough for your closing timeline.
Schedule B‑I: requirements you need to satisfy before closing
Schedule B‑I lists the requirements that must be met before the title company will issue a policy, according to Texas National Title. These are conditional items, not permanent exclusions, and most get resolved through routine closing mechanics.
Common requirements include:
- Payoff of existing mortgages or liens, usually handled through escrow at closing.
- Execution and recording of deeds or other transfer documents.
- Payment of the title insurance premium.
- Delivery of a current survey when the property's boundaries are in question.
Title companies often satisfy these through escrow payoffs and recorded releases, with the escrow agent confirming each item before funds disburse. If a new lien or document surfaces during the search, the title company can add a requirement, which is one reason the workflow after issuance includes resolving Schedule B‑I items and accepting or disputing Schedule B‑II exceptions before the final policy is issued, per Title.
Schedule B‑II: exceptions and what you can do about them
Schedule B‑II lists exceptions, the matters the policy will not cover unless you take action to remove or narrow them, as described in Texas National Title's schedule overview. Some are standard boilerplate; others are specific to your parcel and worth real attention.
Standard exceptions usually cover survey matters, parties in possession, unrecorded easements, and potential mechanic's liens. Property-specific exceptions might include recorded easements, HOA covenants, mineral reservations, or unpaid taxes tied to that address.
- A current survey can remove or narrow the standard survey exception.
- An affidavit from the seller can sometimes clear possession-related concerns.
- Paying off a tax lien or judgment removes that exception outright.
- An endorsement can add targeted coverage for a specific risk the insurer won't fully remove.
Exceptions are negotiable. Many can be limited or removed by providing a survey, an affidavit, or a payoff, and endorsements remain available for affirmative coverage in specific areas, according to Nolo's guidance on title commitment exceptions.
How to read the commitment during your contingency period
Reviewing the title commitment during your contract's contingency period lets you catch red flags such as easements, liens, or survey conflicts while you still have room to request fixes or walk away, per Nolo's homebuyer guidance. Work through the document in this order:
- Start with Schedule A to confirm names, amounts, and the legal description.
- Move to Schedule B‑II to see what the policy will not cover.
- Review Schedule B‑I to understand what must happen before closing.
- Read the Conditions and Definitions section last, since it explains the terms used throughout.
Request copies of any recorded instruments cited in the exceptions, along with payoff statements and a current survey if one exists. Your title representative, real estate agent, or attorney can help you interpret anything unclear. If you find an exception you want addressed, raise it in writing and ask for removal or modification. Sellers often cure issues directly, and in some cases the parties agree to an escrow holdback until a specific item is resolved.
Pro Tip: Ask your title rep for a marked-up commitment showing exactly which exceptions are standard and which are property-specific; it saves time deciding what actually needs attention.
Practical checklist and red flags to watch for
A few issues show up often enough that they deserve priority attention before you sign off on the commitment. Careful review can reveal easements, liens, survey conflicts, and other matters that affect use or ownership, according to Nolo's reporting on title review.
Watch for:
- A name on the commitment that doesn't match the seller on your contract.
- Unpaid liens or judgments tied to the property or a prior owner.
- An easement broad enough to interfere with your intended use.
- A legal description that doesn't align with your survey.
- Unresolved mechanic's liens from recent construction work.
Before closing, confirm the effective date is current, check payoff instructions against your lender's figures, and ask about any HOA obligations tied to the property. If you spot a boundary conflict or a title claim that looks contested, that's the point to involve a real estate attorney or order a dedicated boundary survey rather than guessing.
What happens after the commitment: amendments and the final policy
Commitments can change. If new matters turn up in the public record before closing, the title company issues an amended commitment reflecting them, a routine part of the workflow described by Title.com. Once the transaction records, the title company issues the final policy.
When that policy arrives, check it against the commitment: confirm every agreed cure went through and that any endorsements you negotiated are actually listed. Common follow-ups at this stage include requesting extended coverage, adding specific endorsements, or asking about a reissue credit if a prior owner's policy exists for the same property.
When a survey or feasibility review changes the outcome
Commitments are negotiable documents, not final verdicts. A current survey, ordered early, often narrows the standard survey exception and can surface encroachments a title search alone won't catch. For land purchases tied to development plans, a feasibility review can flag entitlement or zoning conflicts that interact directly with what the title company is willing to insure, before those conflicts turn into delays.
— Jeremy Wenger
Another path: survey and feasibility support for title‑related issues
When a title commitment's survey exception or an entitlement question needs more than a phone call to resolve, professionals can handle that work directly. Our boundary and ALTA surveys are built to narrow the standard survey exception and catch encroachments before they become closing-day surprises, and our feasibility studies identify zoning or entitlement constraints that can sit quietly behind a title exception until someone looks for them.
Buyers and developers often bring consultants in during due diligence, right after the commitment arrives and while contingencies are still open. Services can include owner representation to manage cure negotiations and coordinate with title and closing teams, and master land planning for evaluating a parcel's development potential alongside its title picture.
If a survey or feasibility question is holding up your closing timeline, our services page outlines how we can help.
FAQ
Who typically pays for title commitment?
The cost of the title commitment is usually bundled into the title insurance premium, and local custom determines whether the buyer or seller pays it. In many markets this is negotiated as part of the purchase contract rather than fixed by law.
What do I do with a title commitment?
Review Schedule A for accuracy, then check Schedule B‑II exceptions and Schedule B‑I requirements before your contingency period ends. Raise any concerns in writing with your title company, agent, or attorney so there's time to request a cure or removal before closing, as Nolo's guidance on homebuyer review recommends.
Who pays for title commitment in Texas?
Texas uses state-promulgated title insurance forms, and local custom in most Texas transactions has the seller paying the owner's title policy while the buyer covers the lender's policy, though this is negotiable in the contract. Texas commitments may also include a Schedule D disclosing how the premium is distributed, a detail specific to Texas title insurance rules.
How to read a title commitment report?
Start with Schedule A to confirm names, amounts, and the legal description, then review Schedule B‑II exceptions to see what won't be covered, followed by Schedule B‑I requirements that must be met before closing. The commitment outlines the terms and conditions under which the insurer will issue a policy, and comparing it against your survey and purchase contract is the fastest way to catch discrepancies, according to Title.com's reading guide.
Sources
- What is a Title Commitment and Why is it Important? - StibbsCo
- Understanding the title commitment - Texas National Title
- Title