A title commitment on a $290,000 purchase excepts to matters an accurate survey would disclose. What should the buyer obtain to investigate matters excluded by this survey exception?
Correct Answer
B) Obtain an appropriate survey to investigate boundaries, potential encroachments and relevant easement locations
B. Obtain an appropriate survey and review it with the title documents. The exception identifies matters a survey could reveal; increasing the insured dollar amount does not investigate them. A seller statement alone is not a substitute for locating boundaries and improvements. Scope and exceptions: Survey scope and coverage depend on the transaction, jurisdiction and insurer. Obtaining a survey does not automatically delete an exception or prove the absence of every easement. The cited Texas guidance illustrates coverage distinctions, not a nationwide mandate for a particular form. Source: Land survey standards overview — https://www.alta.org/topics/topic-land-survey-standards Policy exceptions and surveys — https://www.tdi.texas.gov/title/titlefaqs.html
Why This Is the Correct Answer
B. Obtain an appropriate survey and review it with the title documents. The exception identifies matters a survey could reveal; increasing the insured dollar amount does not investigate them. A seller statement alone is not a substitute for locating boundaries and improvements. Scope and exceptions: Survey scope and coverage depend on the transaction, jurisdiction and insurer. Obtaining a survey does not automatically delete an exception or prove the absence of every easement. The cited Texas guidance illustrates coverage distinctions, not a nationwide mandate for a particular form.
Why the Other Options Are Wrong
Option A: Ignore it, since a standard exception appears on every commitment
A common exception can still exclude important risks.
Option C: Ask the seller for a written statement that no encroachment exists
It does not provide equivalent boundary evidence.
Option D: Increase the title coverage by 10% to absorb any boundary problem
A higher policy limit does not remove an exception.
Exam Tip
Investigate the physical issue and separately confirm the actual insurance coverage.
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