A property diagram that indicates legal boundaries, easements, encroachments, rights of way, improvement locations, etc.When refinancing your home, be sure to locate this document in the title package that you received when you either bought the house or refinanced last. Many lenders will require this document in getting your loan approved and you don't want to pay for another one if you cannot locate it.
A survey, on the other hand, goes to the question of the marketability of the house. The surveyor determines whether the house is within the property borders, whether there are any encroachments on the property by neighbors and the extent to which any easements on the property may affect legal title.
One of the reasons the lender requires a survey is this document indicates your home is located within your property lines. In the past surveys have uncovered that part of a home was setting a few feet over the property line on someone else's property. As you can imagine this can create a tremendous problem. The safest bet for anyone purchasing a home is to buy a survey.
It is important to distinguish between a survey and an appraisal -- both of which are usually expenses charged to the buyer at settlement. An appraisal assists the mortgage lender in assessing the value of the house to determine whether a mortgage should be made and in what amount. Generally, the appraisal will analyze the condition of the house, its location, structural soundness and comparable sales in the area.
Companies that offer surveys usually offer different levels of surveys. A mortgage survey, required by lenders, is usually the least expensive because it doesn't requires boundaries to be staked by Surveyor. A Staked Survey is usually done with markers being placed on property boundaries so interested parties can see for themselves exactly where boundary lines lie.
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