Furthermore, title companies usually maintain an escrow account. Escrow accounts hold the funds necessary to close on a property. Also, it ensures buyers use the money solely for settlement and closing costs. Therefore, title companies may conduct the formal closing on the property. Shortly after the closing, a settlement agent provides all of the necessary documentation to each party involved. They also collect closing costs and authorize the release of funds. Moreover, the company will make sure the necessary documents are appropriate. In particular, homeowners and property owners should always verify the legitimacy of their titles.

After a title company verifies the legitimacy of the title, the buyer is the rightful owner of the estate. The title verification works by conducting a title search. A title search consists of a concise examination of property records by looking for discrepancies. The search should come back with the buyer being the sole owner of the property. Also, the title company searches for any tax liens, judgments, unpaid taxes and so forth. Furthermore, the title company may initiate a property survey. A property survey determines the boundaries of the property and other external factors that may affect an ownership claim. 

Prior to the company issuing title insurance, title companies will create an abstract of title. The abstract of title is a brief summary of what title companies find during a title search.