What Is a Title Commitment? Understanding the Document That Reveals Your Property's History
Missy Horner
President, Empire Title Services | 20+ Years Experience
The short answer
A title commitment is the document the title company issues after completing the title search. It summarizes what was found in the public records, what must be resolved before closing can happen, and what will remain after closing. Think of it as the title company's formal report on the property's history — and its conditional promise to issue a title insurance policy once the stated conditions are met.
If you've purchased a home in Indiana, you may have received a document from the title company during the closing process that was titled something like "Commitment for Title Insurance" or simply "Title Commitment."
For many buyers, it looks dense, formal, and not particularly readable. The sections have names like "Schedule A" and "Schedule B-II" — which sounds like something from a federal regulation rather than a real estate closing.
But the title commitment is actually one of the most useful documents in the entire transaction. Once you know what you're looking at, it tells a clear story about the property and what needs to happen before you can take ownership.
What a Title Commitment Is — and What It Isn't
A title commitment is not a title insurance policy. It is the document that comes before the policy.
After the title company completes its search of the public records, it issues the commitment to tell the parties what was found and what must happen before the title company will insure the transaction.
Once closing occurs and the stated conditions are satisfied, the commitment converts into an actual title insurance policy. The commitment is the conditional promise; the policy is the coverage itself.
The Three Schedules — Explained Simply
Most title commitments are organized into three sections, typically called Schedule A, Schedule B-I, and Schedule B-II. Here is what each one means in plain English.
Schedule A — What You're Buying
Schedule A is the factual foundation of the commitment. It typically contains:
- The effective date of the commitment (how current the search is)
- The amount of insurance being issued
- The proposed insured — meaning who will be covered (the buyer and/or lender)
- The current owner of record
- The legal description of the property
Read this section carefully. Confirm that the buyer's name is spelled correctly as you intend to hold title, and that the property description matches what you believe you are purchasing.
Schedule B-I — What Must Happen Before Closing
Schedule B-I lists the requirements — the conditions that must be met before the title company will issue an insurance policy. These might include:
- Payment and release of the seller's existing mortgage
- Payment of delinquent taxes or assessments
- Recording of a new deed in the proper names
- Delivery of authority documents if a trust, estate, or business is involved
- Resolution of any open liens or judgments identified in the search
This is the section that shows what needs to be done. The title company and the parties work to satisfy each requirement before and at closing.
Schedule B-II — What Will Remain After Closing
Schedule B-II lists the exceptions — matters that the title insurance policy will not cover because they will remain affecting the property after closing. These might include:
- Recorded easements (utility easements, drainage easements, access easements)
- Building restrictions or covenants from prior plats or deeds
- Mineral rights that were reserved in an earlier deed
- Matters a current survey would show
- Rights of parties in possession
Many B-II exceptions are routine and exist on almost every property. However, if something appears that is not familiar, ask the title company to explain what it means for your specific use of the property.
Why the Title Commitment Matters for Buyers
The title commitment gives the buyer a picture of the property's recorded history before the transaction closes.
If an old unreleased mortgage appears in B-I, the buyer knows it must be resolved. If an easement for a gas pipeline appears in B-II, the buyer knows it will remain on the property after purchase.
Reading the commitment before closing — not for the first time at the closing table — gives buyers the opportunity to ask questions while there is still time to address them.
What to Ask When You Receive the Commitment
When you receive your title commitment, a few questions are worth asking the title company:
- Is my name spelled correctly as I intend to take title?
- Does the property description match everything I believe I'm purchasing?
- What does each B-I requirement mean and who is responsible for satisfying it?
- Are there any B-II exceptions I should understand before closing?
- Is there anything in the search that was unusual for this property?
Cash Buyers and the Title Commitment
Cash buyers who engage a title company will receive a title commitment just as financed buyers do. The commitment is based on the title search results, not on the presence of a lender. If you're purchasing with cash and want to understand the property's recorded history before funds change hands, reviewing the title commitment is the place to start.
Frequently Asked Questions
Is a title commitment the same as title insurance?
No. A title commitment is the document that precedes title insurance. It outlines what the title company found in its search and what conditions must be met before a title insurance policy will be issued. The actual title insurance policy is issued after closing, once the requirements in the commitment have been satisfied.
How long is a title commitment valid in Indiana?
Title commitments typically have an effective period specified in the document — often 90 to 180 days. If closing does not occur within that period, the commitment may need to be updated. Check with your title company if the closing date is approaching the expiration.
What happens if I find something in Schedule B-II I don't understand?
Ask the title company to explain it in plain language. Schedule B-II lists matters that will remain after closing — easements, restrictions, mineral rights reservations, and similar items. Some are routine and affect nearly every property. Others may be more specific. The title company can explain what it means practically for your use of the property.
Do I get a title commitment for a cash purchase in Indiana?
Yes, if you order title work. A title commitment is issued based on the title search, regardless of whether financing is involved. Cash buyers who engage a title company will receive a commitment that shows the search results and what must be addressed before the deed is recorded.
Missy Horner
President, Empire Title Services
With over 20 years of experience in Indiana and Ohio real estate closings, Missy Horner leads Empire Title Services in providing expert title insurance, property searches, and closing coordination. A trusted resource for real estate agents, lenders, and homeowners throughout Wayne, Randolph, and Henry counties.
Want to start from the beginning?
The Mortgage Was Paid Off Years Ago. Why Was It Still Showing on the Property?
Before understanding the title commitment, it helps to understand the kinds of issues a title search uncovers — like an old mortgage that was never properly released from the public record.