Missouri Real Estate Practices

An attorney is not required. A Licensed Missouri Producer must search, examine, close, record or handle any other aspects of closing and commitment and policy issuance. (License issued by the Missouri Dept. of Insurance, Financial Institutions and Professional Licensing: MO DIFP) RSMo 381.031.19

A cancellation fee is permitted but not required. An Issuing Office may invoice for a cancellation fee at the time of commitment. There is no filed commitment fee.

Only the lender may execute a Deed of Release.

A General Warranty Deed is customary for residential and commercial transactions. A Special Warranty Deed may be used for commercial transactions. A Quit Claim Deed or Special Warranty Deed may be insurable if approved by an underwriter after review of the title search.

Yes, Section 381.410 (9-4-19)

A Non-Title Holding Spouse must execute any deed of conveyance or deed of trust. There is no civil union in Missouri.

None.

(a) Seller pays for the Owner’s policy in Western MO; Buyer pays for the Owner’s policy in Eastern MO.
(b) No Transfer tax in MO; Recording fees are paid by the Buyer for the deed, by the Borrower for the deed of trust, unless the contract specifies otherwise.
(c) Borrower pays for Survey if required by Lender. Buyer also pays for Survey if required for Buyer unless contract specifies otherwise.
(d) Closing fees generally split between Buyer and Seller.

Licensed Missouri Producer must countersign the policy. Producer License issued by the MO Dept. of Insurance, Financial Institutions and Professional Licensing (DIFP)
Both Resident and Non-Resident Producer Licenses are issued.

State and County: Tax Year is the calendar year. Taxes are due November 1 of the current tax year, delinquent December 31 of the current tax year.

Search must be made at a Registered Title Plant (a set of geographically indexed records registered with the DIFP) unless a search from the plant cannot be obtained at a reasonable cost in a reasonable time. The Plant must contain records which encompass at least the most recent forty-five years. RSMO 381.031.22. (A) The minimum required by state law is a search from a 45-year plant; (B) no marketable record title act; marketable title determined by case law and Title Standard; (C) Title Examination Standard of The Missouri Bar is 45 years but the base title required will generally exceed 45 years.

It is customary (and required in residential transactions) to disclose and charge a separate Title Service Charge which includes search and examination. Missouri is not an al- inclusive jurisdiction. We are prohibited from quoting an all- inclusive charge for residential transactions; the charges must be broken down between the Filed Risk Rate for the premium and the Title Service Charge.

Who can be listed as the trustee on the Deed of Trust (e.g., residency and/or natural person requirements, etc.)? Can an underwriter or title agent be designated as the trustee, and, if so, is it customary?

Deed of Trust only. The trustee must be a MO resident individual over the age of 18 or a MO corporation. If a non-resident individual or foreign corporation is named as trustee, a MO resident individual or MO corporation must be added as co-trustee.

An underwriter or a title agent could qualify as a trustee if it is a MO corporation. By custom, an attorney who is a resident of Missouri is usually named trustee. The lender/beneficiary selects the trustee.

EXCEPTIONS FROM COVERAGE

This policy does not insure against loss or damage (and the Company will not pay costs, attorneys’ fees, or expenses) that arise by reason of:

Standard Exceptions:

1. a. Rights or claims of parties in possession not shown by the public records.

b. Easements, or claims of easements, not shown by the public records.

c. Any encroachment, encumbrance, violation, variation, or adverse circumstance that would be disclosed by an accurate and complete land survey of the Land.

d. Any lien, or right to a lien, for services, labor or material heretofore or hereafter furnished, imposed by law and not shown by the public records.

e. Taxes or special assessments which are not shown as existing liens by the public records.

Special Exceptions:

2. Taxes ________ (current year) or year of issuance and subsequent years.

Some issuing offices or agents add requirements. Some do not. If requirements are added, they are specific to the commitment and transaction (e.g., require a copy of the operating agreement of the LLC; require payment and release of a Deed of Trust; require execution and recording of the deed of trust to be insured).

Mandatory arbitration is prohibited in Missouri. The filed Arbitration Endorsement should be included with each policy.

"Minerals of whatsoever kind, subsurface and surface substances, including but not limited to coal, lignite, oil, gas, uranium, clay, rock, sand and gravel in, on, under and that may be produced from the Land, together with all rights, privileges, and immunities relating thereto, whether or not appearing in the Public Records or listed in Schedule B. The Company makes no representation as to the present ownership of any such interests. There may be leases, grants, exceptions or reservations of interests that are not listed."

Commitment, policy and endorsement forms must be filed with the DIFP by the Insurer. There is no rate service organization. The Insurer files its Premium/Risk Rate for policies and endorsements with the DIFP. Title service charges made by the issuing agent are not filed. No “all-inclusive” rates or charges may be made.
See Regulations at http://sos.mo.gov/adrules/csr/current/20csr/20c500-7.pdf

None.

Not available.

Not applicable.

No witnesses required.