I hate to get involved in this conversation, but I think it is an important topic. "Newbie Bashing" is not a good thing, and I don't want to blame the "newbies" for some of the problems in the industry - because they don't know the problems that are being caused by their lack of training. I believe that there are a lot of well intentioned abstractors, very new to the field, who were led down this path by someone else.
The best advice for someone who wants to be an independent abstractor is to work for a title company or attorney for a couple of years (and that may not be enough). The only way to become a good abstractor is to gain experience... the only way to gain expereince without causing a lot of problems and incurring a huge amount of liability is to have someone knowledgeable in the field review your work and explain "WHY" you should or shouldn't show certian items. Good training is extremely important!!
For example... when you are searching a property that recently came out of foreclosure with liens still showing open you have to know when lis pendens applies. Some liens may survive the suit, others may be extiguished. When you have a deed that wasn't notarized properly, what is the statutory requirement that will cure the defect? There are so many things that you really can't be prepared for, unless you have come across them before and had someone there to properly explain them when they do arise. That takes a lot of time - and a good teacher.
It is easy for someone to say, "just find the deed and look for any liens", but there is so much more to it than that. As rates begin to rise and more forclosures are filed, many cliams will be generated. It is going to be a scary time for a lot of abstractors and insurers.
I have also spoken with a few E&O insurers regarding discounts for NALTEA members and the answer was always the same... "there are a lot of new abstractors that haven't been properly trained entering the field." This is ONE of the causes of the higer rates, but I'm sure there are other forces at work also.
Source of Title gets a lot of e-mail asking "how do I become an abstractor?" and I always tell them the same thing - get a job with a title company or attorney that has sufficent resources to train you properly. Anyone who wants to be an abstractor, without the necessary training, can get into the field, but they should be aware of the requirements of the job and fully understand the liability associated with it. Missing one mortgage, federal tax lien, life estate, or anything else could cost you your home! Most of us can't afford to pay a $100,000 claim and the rising E&O rates should be an indication of the liability involved.
A final note: the Source of Title message forums are for everyone, newbies and seasoned abstractors alike, but newbies won't always like the responses they get. They shouldn't be taken as "hostile" or "bashing" but as a wanring that there is a lot of responsibility involved with abstracting. Peoples homes, the single largest investment they make, are riding on your ability to perform your duties as an abstractor. Those who have been trained for years before becoming independent are frustrated with the abstractors that don't think they need to be properly trained or aren't aware of the training that they didn't get. Some of them simply do not realize how much they do not know.
Best to everyone,
Robert A. Franco
SOURCE OF TITLE
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