Title Report for Your ADU – Why You Need It?


For many homeowners, investing in an Accessory Dwelling Unit (ADU) is a great way to make a passive income, increase their home’s value and provide additional living space for friends and family. But even before you can build an ADU for these potential benefits, you will need to do a title search and get a title report. A title report is necessary to ensure that the property titles are clear and that San Diego adu builder have all the necessary permissions and authorizations to use the land for the ADU. Let’s discuss key reasons why you need a title report for your ADU.

Title Search Helps to Understand Legal Description

The title report you receive by using services of www.aducontractorca.com will help you understand the legal description of the land in which you plan to build your ADU. This legal description shows all easements, rights of way and any other pertinent information that might limit your legal use of the land. Furthermore, understanding the legal description can help you identify any existing claims on or encumbrances against the land.

Identification of Potential Issues

When you receive a title report from a qualified title company, you can rest assured that it will reveal any potential issues with the land title. This can include encumbrances, easements, ownership disputes, liens, pending litigation, expired permits, and more. Title reports provide you with valuable information so that you can make an informed decision about investing in the property or land.

Helps to Resolve any Unresolved Issues

If a title report reveals any disagreement or unresolved issue regarding the property you plan to build your ADU on, then it can be helpful in resolving it. A title company can conduct title searches to determine who holds a legal claim against the property, what liens may be present and who owns any possible easements.

Determine Mortgage Security

A title report can also help you determine if the land on which you plan to build your ADU is free from any potential mortgages or liens. In most cases, lenders will require a title search in order to approve any loan, as any existing mortgages or liens will have to be paid off before construction can begin.

Understand Property Taxes, Insurance and Zoning Requirements

Another reason you need a title report is to understand the property taxes and insurance that would be required if you plan to purchase the land for the ADU. The title report also identifies any zoning restrictions that might affect your ADU construction. Having this information will allow you to make an informed decision and plan how much money you will need to purchase or lease the land and plan your ADU construction.

Understand Property Deeds

Lastly, a title search can help you understand the property deed and all the legal requirements associated with it. This includes understanding what restrictions or encumbrances there are on the property that limit your rights to constructing the ADU. With this information, you can make any modifications or changes that are necessary to ensure your ADU construction is compliant with local zoning and deed laws.


Title reports are essential for homeowners who are looking to build an Accessory Dwelling Unit (ADU). Title reports provide detailed information about any potential issues with the land title and any existing mortgages or liens against the property.

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