Closings glossary

Tax search

The search reporting property tax status, water and sewer balances and municipal charges. Its results drive the tax adjustments shown on the closing statement.

What is a tax search in a title report?

Quick Answer

A tax search reports unpaid real estate taxes, water and sewer charges, and other municipal arrears running against the property. Those charges are liens ahead of a buyer's interest, so anything open is paid or adjusted on the closing statement before the deed changes hands.

The full definition

The search reporting property tax status, water and sewer balances and municipal charges. Its results drive the tax adjustments shown on the closing statement.

Where does tax search come up in a New York City closing?

A Bronx tax search shows a $3,200 water balance, and the amount is deducted from the seller's proceeds and paid directly at the closing.

What else should you read before closing?

In the glossary

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