Chain of Title Diligence

By Patricia Blakemore, Broker/Owner · Elite Collective · May 30, 2026

Title Commitment Basics

The title commitment (also called preliminary title report) lists all recorded interests affecting the property — prior deeds, mortgages, easements, CC&Rs, judgments, liens, and other items. The title insurer commits to issuing a policy subject to the listed exceptions.

Schedule A identifies the property, the seller's apparent ownership, and the policy details. Schedule B lists exceptions — items not covered by the policy. Buyers should review both schedules carefully, with attention to Schedule B exceptions that affect property use.

Common Title Items

Most title commitments include standard items — utility easements, recorded CC&Rs, dedications for streets and alleys, recorded tax obligations. These are normal and rarely affect property use materially.

Less common items deserve more attention — private easements with substantial rights, restrictive covenants limiting use, old mortgages that should have been released, judgment liens, mechanic's liens, or other matters that could affect ownership or use.

Easement Analysis

Easements grant specific rights to non-owners — typically rights of access, utility installation, or specific use. Most luxury properties have utility easements (gas, water, sewer, electric) that are routine. Private easements giving neighbors or specific parties access rights deserve careful review.

Easement scope matters. A 'utility easement for installation and maintenance' is narrow. An 'access easement over the southerly 20 feet of the property' is much broader. The specific language in the recorded easement document defines the rights.

CC&Rs and Restrictive Covenants

Covenants, Conditions, and Restrictions (CC&Rs) on luxury properties often govern architecture, landscaping, height restrictions, and use limitations. HOA-administered communities have detailed CC&Rs; non-HOA neighborhoods can have recorded restrictive covenants from original subdivisions.

Buyers planning renovation, addition, or use changes should review CC&Rs carefully before committing. Some CC&Rs require architectural review board approval; others have specific dimensional or aesthetic restrictions. Pre-purchase clarity prevents post-purchase frustration.

Old Mortgages and Liens

Title commitments occasionally reveal old mortgages that should have been released but weren't formally recorded as paid. The title company typically works with the prior lender to obtain releases before closing.

Judgment liens, mechanic's liens, and tax liens are taken more seriously. These represent valid claims that must be resolved before clean conveyance. Most resolve through standard title clearance procedures; complex situations warrant counsel involvement.

Gaps in the Chain

The chain of title should run from the original government patent (or earliest recorded ownership) through each subsequent transfer to the current seller. Gaps — unrecorded transfers, missing documents, or unclear succession — can create title defects.

Most gaps resolve through standard title-clearing procedures. Some require legal action (quiet title proceedings) before clean conveyance. Title companies identify these issues during examination and typically address them as conditions to insuring.

Policy Coverage and Endorsements

Standard title policies cover the title defects insurance is designed to address — defects in the chain of title, hidden liens, forgery, etc. Coverage runs subject to the listed exceptions in Schedule B.

Endorsements can extend coverage to specific risks — survey matters, environmental issues, mechanic's lien exposure, and others. Buyers in complex transactions should discuss available endorsements with their title officer and counsel.

Working with Elite Collective

Elite Collective represents buyers and sellers across Los Angeles County's luxury real estate market with research-led, evidence-based counsel. Our practice is built around four disciplines that translate directly to client outcomes. First, sub-market specificity — the analytical work that distinguishes one neighborhood, one block, or one micro-market from another, and that prices a property to the comparable set rather than to aspiration. Second, structured diligence — a defined sequence of inspections, document review, title and survey work that produces clarity before closing rather than surprise after. Third, transaction discipline — contingencies tracked, deadlines met, counterparties aligned, with the brokerage acting as the project manager of a complex process. Fourth, discreet representation — a marketing posture that protects principal privacy while reaching the right buyer pool through established luxury channels.

Patricia Blakemore is Broker/Owner of Elite Collective, a division of KW Luxury International, and a Luxury Real Estate Strategist serving Los Angeles County from offices in Manhattan Beach. Whether you are evaluating a specific property, planning a sale, or building a longer-term acquisition strategy across the LA luxury market, a confidential strategy call is the appropriate first step.

Title insurance is the floor; chain-of-title diligence is the ceiling — both protect, but only careful review catches what shouldn't surprise a buyer after closing.

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