What is the duration of validity for a title commitment?

A title commitment is a document that outlines the terms and conditions under which a title insurance company agrees to issue a title insurance policy. The validity period for a title commitment is typically set at six months. This timeframe allows the parties involved—such as buyers, sellers, and lenders—to complete the necessary transactions while ensuring that the title commitment reflects the most current information about the property’s title status.

After six months, if the transaction is not completed, the title commitment may need to be re-evaluated. This is crucial because changes can occur in public records, affecting the title’s status, and the title company needs to ensure that the commitment remains accurate and relevant to any existing issues or new encumbrances.

In contrast, shorter durations like three months may not provide sufficient time for a transaction to be completed, while a one-year commitment would extend too long without reassessing the property status. An indefinite commitment is impractical, as it would not account for any changes that could arise over time concerning the property’s title.