Once you've opened escrow on a property, you will receive a preliminary report. This is an offer to issue a title insurance policy and it will describe the terms under which a policy will be issued.
The preliminary report will include items such as the owner's name, property legal description, and any exceptions to the title policy. While every property will have some exceptions, certain exceptions must be removed before a title policy can be issued. One example is a deed of trust securing a loan. The loan must be paid in full in order to secure a release and issue a title policy.
It is important to review your preliminary report and understand any exceptions or exclusions from title policy. Your title representative or escrow officer can help you with any questions about your preliminary report.