Since title insurance can tend to be misunderstood, here is a list of terms commonly used by the industry.  If you should encounter other words that are vague or unclear to you, please feel free to ask us to get an understandable definition for you.  

ALTA:  Abbreviation for American Land Title Association. 

Assignment of Deed of Trust:  Document used when a beneficiary (or lender) transfers their interest under a Deed of Trust. 

Conditions:  The specific terms used under which a policy of title insurance will be issued. 

Deed of Trust:  A voluntary lien on a specific piece of property given for the purpose of securing a debt or other obligation. 

Easement:  The right of someone else to use your land for a special purpose, such as to place utility lines, underground utility connections, pipelines, etc. 

Encroachment:  The extension of an improvement onto an easement or adjoining land. 

Encumbrance:  Deed of Trust or any document, which specifies a lien against a property. 

Endorsement:  The approval for any change on a commitment or policy which has been or will be issued by a title insurance company, such as amount of insurance, effective date of insurance, lender, etc. 

Escrow:  The state of a written agreement, such as a deed, put into the custody of a third part until certain conditions are fulfilled. 

Exceptions:  Conditions that are unable to be insured, such as encumbrances or liens.   

Exclusions:  Similar to exceptions, but rather than making exceptions for such things as liens or encumbrances, certain conditions are excluded from insured coverage. 

Gap Time:  The period of time between when the closing takes place and the time of recording the documents in the county clerk and recorder’s office. 

Mechanic’s Lien: Lien to secure the compensation of those who have done work on a property or have been directly instrumental to its’ improvement. 

Metes and Bounds:  A way of describing real estate in directional terms.  A compass heading is given in degrees, minutes, seconds, and the distance. 

Partial Release:  When an encumbering instrument has been partially paid. 

Release:  When an encumbering instrument such as a Deed of Trust has been paid in full. 

Quit Claim Deed:  Deed that is used where a part quits any claim to the property without guaranteeing ownership. 

STR:  Section, Township and Range.  Method of measuring and locating land. 

Vesting Deed:  Deed that conveys ownership. 

Warranty Deed:  Deed that guarantees ownership of a property.