PA Underwriting Summary

Search/Exam

• Minimum Search Requirements -- 60 years
  • No state law imposes a minimum period nor does the state have any marketable title acts
• Plant or other search restrictions -- No
• Additional Requirements for REO Searches -- No
• Foreclosure Checklist -- N/A
• Special Searches Required (Code, HOA, Utilities)? --
• Survey Requirements -- No
• UPL Hot Button Issues -- No

UPL

Title agents may prepare all documents to be insured. However, only attorneys may explain settlement documents.

Witness Requirements

• Witness on Deed and Mortgage by individuals not required
• Attestation by corporate officer on Deed and Mortgage by corporation is not necessary; corporate seal is not required. See 15 Pa.C.S.A. §1506(b).

Mortgage/Transfer Tax

• No Mortgage Tax
• The State Transfer Tax is always 1% of the sales price. In addition, there is a Local Transfer Tax which varies from 1% to 4% of the sales price based upon the location.

Spousal Joinder Requirements/Homestead

• PA is an equitable distribution state which gives marital rights in property to non-title spouses in the event of a pending divorce. Non-titled spouses are required to join in the execution of a Deed or Mortgage if there is a pending divorce.

Who May Serve As Trustee On Deed Of Trust

• PA is a mortgage state

Time Limitations

• US Judgment Liens -- 20 years, renewable for 20 years
• State Court Judgment Liens -- Money judgments = 5 years; Can be revived for successive periods
• Child Support & Municipal Liens - 20 years
• Criminal restitution, Revenue Liens, Corporate Tax Liens & Student Loans - indefinite
• Federal Tax Liens -- 10 years (+30 days); can be refiled
• State Tax Liens -- No expiration
• Estate Tax Lien -- Federal 10 years
• State Inheritance Tax Liens -- 20 Years
• Mechanics Liens -- 2 years-unless action to foreclose commenced
• Financing Statements -- 5 years
• Mortgages -- Presumption of payment after 20 years after maturity; title then insurable if maturity date is stated in or can be calculated from the mortgage.
• HOA Liens -- 3 years from date assessment becomes payable
• Condominium assessments -- 3 years from date assessment becomes payable. Special limited priority given to condo liens in mortgage foreclosure actions (amount not greater than 6 months of assessments)
• Child Support Liens –

Odd Stuff

• Settlement Officer who is a licensed title agent, employee of an underwriter or Pennsylvania licensed attorney who conducted closing or directly supervised closing through which Mortgage was paid off may satisfy. "Mortgage Satisfaction Act" (Act 197 of 2002 - effective 2/7/03)
• PA policies are a modified version of the 2006 ALTA policies; PA has omitted survey coverage from the policy and requires such coverage to be purchased by endorsement.
• All forms, and all rates, up to 30 million dollars are handled through the Title Insurance Rating Bureau of Pennsylvania. Please see the Pennsylvania Manual of Rules and Rates available in our PA Business Practices/Real Estate Practices Section.
• Usury coverage is not available in Pennsylvania.