What Is a Title Commitment?
The title commitment is the title company’s report card on your property. It tells everyone involved — buyer, seller, lender, agents — what the title company found when they searched the public records, what needs to be fixed before closing, and what the title insurance policy will cover.
Every Texas real estate transaction has one. If you’ve sold a home before, you’ve seen one — even if you didn’t read it closely. You should read it closely.
Table of Contents
▼The Four Schedules
A title commitment is divided into four schedules. Each serves a different purpose.
Schedule A — The Basics
Schedule A identifies the key information:
- The property (legal description and address)
- The current owner (who the title company believes owns the property based on the records)
- The proposed buyer
- The type of policy to be issued
- The effective date of the commitment (the date through which the title search was conducted)
If anything in Schedule A is wrong — misspelled name, incorrect legal description — it needs to be corrected immediately. Errors here can delay closing.
Schedule B — Exceptions
Schedule B lists the things the title insurance policy won’t cover. These are known conditions or standard exceptions that the title company excludes from coverage:
- Existing easements and rights-of-way
- Deed restrictions and HOA covenants
- Property taxes not yet due
- Mineral rights reservations
- Survey exceptions (unless a current survey is provided)
Some of these are standard boilerplate. Others are property-specific and worth reviewing carefully. An easement you didn’t know about or a deed restriction that affects what a buyer can do with the property can become a negotiation point.
Schedule C — Requirements
Schedule C is the to-do list. These are the conditions that must be met before the title company will issue the policy and close the transaction:
- Payoff of existing mortgages
- Release of liens
- Execution of the deed
- Payment of taxes
- Resolution of any title defects found during the search
This is the schedule sellers should pay the most attention to. If there’s a lien you forgot about, a judgment you didn’t know was recorded, or a release that was never filed — it shows up here. Everything on Schedule C must be resolved before closing.
Schedule D — Fees
Schedule D discloses the title insurance premiums and who pays them. In Texas, rates are regulated by the Texas Department of Insurance, so the premium is the same regardless of which title company you use. Schedule D breaks down the owner’s policy cost, the lender’s policy cost, and which party pays each.
What Sellers Should Look For
Schedule C items. If the title company found a lien, judgment, or defect you didn’t know about, Schedule C is where it appears. Review it carefully and address any surprises immediately. The earlier you handle these, the less likely they are to delay closing.
Schedule B exceptions. Look for anything unusual — an easement you didn’t know about, a deed restriction that might concern the buyer, or a mineral rights reservation. These aren’t necessarily problems, but the buyer and their agent will review them and may have questions.
Schedule A accuracy. Make sure your name is spelled correctly and the legal description matches your property. Simple errors here can cause delays at closing.
Common Title Issues That Show Up
- Unreleased mortgage. You paid off a previous mortgage but the release was never recorded. The title company will require a release before closing.
- Tax liens. Unpaid property taxes or IRS liens. Must be paid at or before closing.
- Judgment liens. A court judgment against you that attached to the property. Must be resolved.
- HOA liens. Unpaid HOA assessments. The title company will require a payoff statement.
- Missing signatures. A deed in the chain of title that’s missing a required signature. May require a corrective deed or affidavit.
Timeline
The title company typically receives the executed contract within a day or two of the effective date. The title search takes 1-2 weeks. The title commitment is delivered to all parties for review.
In Texas, the buyer has a contractual right to review the commitment and raise objections. If objections are raised, the seller has a specified period to cure them. If they can’t be cured, the buyer may have the right to terminate depending on the contract terms.
Don’t wait for the buyer to find problems. If you know about potential title issues, address them before listing or at least disclose them early in the process.
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Frequently Asked Questions
What is a title commitment in Texas?
A title commitment is the title company's preliminary report on the property's ownership and any liens, encumbrances, or defects found during the title search. It's the document that tells everyone what needs to be resolved before closing and what the title insurance policy will and won't cover.
When do you receive the title commitment?
The title commitment is typically delivered within 1-2 weeks after the title company receives the executed contract. In Texas, the buyer has the right to review it and raise objections within a specified timeframe.
What are Schedules A, B, C, and D in a title commitment?
Schedule A identifies the property, owner, and proposed buyer. Schedule B lists exceptions — things the title insurance won't cover. Schedule C lists requirements that must be met before closing. Schedule D discloses the title company's fees and who pays them.
Can a title commitment reveal problems with my property?
Yes. The title search behind the commitment can reveal unpaid liens, unresolved judgments, missing releases, boundary issues, easements, and other defects that affect the title. These must be resolved before the title company will issue the policy and close.
