PA Operations Summary

Licensed Entity:

WFG NATIONAL TITLE INSURANCE COMPANY
See Attached HUD Sample for Additional Information

Banking Information

Bank account -- <<INSERT ACCOUNT #/ROUTING #/BANK NAME>>
Checks stale dated after -- ___ days of issuance
Good Funds Law -- <<INSERT ANY DE MINIMUS AMOUNT>>
Disbursements Requirements -- <<INSERT IF WFG REQUIRES CD?>>
Special Bank Requirements (IOLTA/IOTA/OTHER or account specific to that state’s funds) -- NO

Escrow/Settlement

Who can prepare the HUD -- No restrictions
Who can sign the HUD (EO/LTP/Attorney) -- No restrictions
Who orders hazard insurance -- Customary -
When is transaction consummated for new HUDS --
Record before/after disburse -- Record first
Filed/restricted escrow rates -- If yes, see <<HUD OR SEPARATE SHEET>>
Record retention requirements --
Is an attorney involved in the closing -- If yes, explanation attached
Who can handle loan document signing -- Notary signing permitted but cannot pass thru charge
Doc Prep Restrictions -- Non-standard docs must be prepared by attorney
Use Escrow Instructions or not -- No
Use Estimated HUD or Final -- Final
Pass-thru charges -- Limited – Rate Manual Sections 2.1 & 3.4
Rates Inclusive or not – Inclusive with exceptions
- Section 2.3 of the Pennsylvania Rate Manual allows a separate search and/or examination fee "in specially difficult title matters". Those matters would include "multiple chains of title, land under water, coal, oil, gas or mineral searches, railroad property searches, land in beds of streets, rights-of-way, driveways, foreclosures, tax sales, proceedings under federal bankruptcy or state insolvency related statutes, or … other unusual difficulties or unusual expenditures".
- Pass through Charges permitted for Tax Searches or certifications,water and sewer searches, municipal lien searches, domestic relations and support lien searches, corporate lien searches, corporate good standing certificates, UCC, condo & coop certificates.
- Settlement fee included in title premium. Settlement conducted outside of office or after hours could be considered an unusual expenditure and passed through to customer. Fee must be reasonably related to expenditure.
- Escrow Fees permitted where the closing agent is going to hold funds for an extended period of time after closing. Otherwise part of inclusive premium.

Must be written Escrow Agreement; $25 for first 6 months and minimum charge of $25 for each year beyond initial 6 months.

- No disbursement fee, but wire fees may be passed through at cost.
- Courier/Overnight fees may be charged at cost, but only if a party to the transaction requests overnight delivery
Cancellation Fee -- minimum $100.00 for cancellation. §3.1 of the Pennsylvania Rate Manual
Up Charging -- No
Junk Charges -- No
Special HUD Requirements --
Special Disclosures -- Yes – Rate Manual Section 2.9 & 5.1A
CPL -- $125, remitted entirely to underwriter
UPL Issues -- No
Joinder of non-titled spouse – No, unless pending divorce
Survey Required -- No

Audits

Required -- No; Insurance Department may conduct a random audit

Recording Process

E-recording -- County list of e-recording attached
Record before disbursement --
Special recording procedure -- <<WALK THRU??>>

Recording/Document Requirements

Marital Status Stated -- Not Required (but customary)
Transfer Tax -- 2% - 4% purchase price depending on county. Customary to divide the tax equally between buyer and seller. If one of the parties is exempt from the tax, the other party must pay the entire tax (tax is imposed on the transaction, not the parties). If both parties are exempt, no tax due.
Mortgage Tax -- No
Address for grantor/grantee/property -- Required for grantee and mortgagee
Witnesses -- Not required
Names typed/printed -- Yes-under all signatories
Prepared by/return to -- Required
Notary Stamp/requirements -- Ink stamp with name of municipality and county in which notary maintains an office and the expiration date of the notary’s commission
Parcel or tax index number -- Required
Recitation of Consideration -- Required
Derivation Clause -- Not required but customary
Corporate Signatures/Attestation -- Corporate Officer
Ink Color/Font -- No specific requirement
Legal Description -- State, County, Municipality, Uniform Parcel ID, (filed map or metes & bounds description generally required for insurability).
Margins -- Most counties require 1 inch margin on all sides with first page of document also having a 3 inch margin at the top.
Other Special Recording: --

Document Types

Conveyance -- Warranty Deed, Quit Claim Deed, Executors or Administrator’s Deed. Special Warranty Deeds are customary. Quit Claim Deeds are generally not insurable. Consider a "Warrantless, Conveyance Deed" be used instead of a Quit Claim Deed
Security Instrument -- Mortgage
Release -- Satisfaction of Mortgage (Partial Release if applicable)

Tenancies

Tenants in Common -- Yes & presumed
Joint Tenants -- Yes
Tenancy by Entireties -- Yes
Community Property -- No
Homestead -- No
Joinder of Non-titled Spouse -- Only if pending divorce

Taxes

Caution Tax Years, assessment dates and due dates may vary depending on the assessing body – Care should be exercised in computing pro-rations

Tax Year -- Local: Calendar; County: Calendar; School: Fiscal (July 1 through June 30) except for school districts of the first class, which are calendar year.
Due Dates - County and Local taxes or Philadelphia, Pittsburgh and Scranton City taxes--By April 31 of the taxing year; October 31 of the taxing year for School Districts other than Philadelphia, after which time the taxes are considered delinquent and an automatic lien dating as the first day of the taxing year.
Lien Date: If not paid, taxes become a lien against the property as of the first day of the taxing year.
Lien Duration: Once filed, the lien endures until paid or 20 years from the date of filing the claim, if not revived within that time for an additional 20 year period.

Commitment/Policy Special Requirements

Who can sign Commitment/Policy -- Pennsylvania Licensed Producer
Other --

Payment Customs

Owner’s Policy? Purchaser
Transfer Tax & Recording Fee? Transfer tax costs are split evenly between the parties. Recording fees are split as follows: purchaser for deed; seller for releases/satisfactions
Survey Charges? Purchaser
Closing/Settlement Fees? Purchaser; seller for municipal certificates

Post Closing Requirements

Recon follow up required –

Withholding Requirements

See Withholding in Pennsylvania