Property Survey Vs. Mortgage Loan Survey; Buyers Need to Know What They Are Buying

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Can you imagine the buyer that bought their new home, lived happily in it for a while and then when they went to obtain a building permit to build a shed on the property they learned half their home sat on another’s property? Believe it or not, things like this do happen. And they happen because buyers are often not officially aware of exactly what they are getting when they sign on the dotted line.

A plat map, the area map usually designed when the subdivision is being planned by the developer and approved by municipalities, often are done roughly until actual parcel distribution begins. And when you factor in years of parcel splits and other changes made through time, things can change drastically from what might have appears on the original plat map.

To confirm property lines, buyers have the option to obtain a property survey. Now, there are two types of surveys; one more of an informal “mortgage report”, referenced on most real estate purchase agreement contracts and the other is the full-blown survey, also referenced on most purchase agreements. A reputable engineering firm that accurately measures and marks the property with stakes to demarcate the exact property lines conducts the formal survey. In cases where parcel have been divided, a new legal description is provided and recorded with the municipality, assuming the split was approved. A detailed map of the area is provided, with indications of easements, water and road frontage and precise measurements of lot lines.

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Prior to purchasing a property, it might be a good idea to consider having a survey conducted on the parcel to confirm what you believe you are purchasing. Today, most buyers do not have it done since it can cost anywhere from $250 to $1000 or more depending on the type of survey and other factors concerning the property.

If you would like more information on this topic, or if you think you might benefit from some customized advice according to your own purchase, contact us today. We are glad to be of