Skipping a survey might save a few hundred dollars upfront—but it can cost thousands in legal exposure, delays, or lost deals. A Location Survey is not just a document; it’s an essential layer of protection that helps buyers, agents, lenders, and title companies close with confidence.
A Mortgage Location Survey (MLS)—referred to as a Surveyor Location Report (SLR) in Indiana—is one of the most overlooked tools in a real estate transaction. While some buyers opt to skip it to “save” money at closing, this decision can create significant risk for both the buyer and their real estate agent.
Unlike a full boundary survey, a Location Survey provides a fast, cost-effective way to verify that the legal description in the deed matches the actual physical property being transferred. It does not stake corners but offers critical insight that protects ownership and streamlines closings.
To learn more about the Purpose of a Mortgage Location | SLR >>
For the Buyer: The “Phantom Property” Risk
The most serious risk isn’t a misplaced fence; it’s purchasing the wrong property entirely.
The “Lot Next Door” Scenario
In some cases, the legal description in a deed may not align with the actual location of the home. Without a Location Survey to flag the discrepancy, buyers have mistakenly purchased the wrong parcel—such as Lot 14 when the home sits on Lot 15. This error may not be discovered until months—or years—later, leaving the homeowner without clear legal title to the property.
Understanding the Evidence of Property Ownership >>
Title Insurance Limitations
Most title insurance policies include a “survey exception.” If you waive the survey, and a boundary issue emerges later—such as a neighbor disputing ownership of a driveway—your title insurance may not cover the claim. A Location Survey would have identified that issue during the transaction.
Resale Risks and Delays
Even if you’re comfortable waiving the Location Survey during your purchase, your future buyer’s lender may not be. If a previously undiscovered encroachment or setback violation is revealed under a tight resale deadline, it could delay—or jeopardize—the closing.
For the Agent: Professional Liability & Deal Integrity
To speed up closings, real estate agents may unintentionally expose themselves to long-term risk.
“Why Didn’t You Tell Me?”
If a buyer discovers a violation or encroachment after the sale—such as a garage built over a setback line—they often turn first to their agent for answers. Failing to recommend a survey can raise questions of diligence and professionalism.
Disclosure Responsibilities
If you observe a potential boundary issue—such as a fence, shed, or driveway that appears misaligned—and recommend against ordering a survey, you could be held responsible for failure to disclose a material issue.
Commission at Risk
Boundary disputes often emerge late in the process, especially when lenders require a survey shortly before closing. A last-minute discovery can derail the transaction, resulting in a lost commission and reputational harm.
Why This Matters in Ohio and Indiana
In both Ohio and Indiana, Mortgage Location / SLR reports are standard in many real estate transactions. They’re often required by lenders and title companies to verify that:
- Structures are on the property as described in the deed transferring
- Setback requirements are met
- Encroachments or easements are properly disclosed
Failing to order a Location Survey can leave gaps in title coverage and introduce unnecessary risk into a transaction that could otherwise proceed smoothly.
Partner With McSteen
With over 50 years of surveying experience, McSteen delivers fast, accurate, and trusted Location Surveys across Ohio and Indiana. Our responsive team and proprietary Survey Tracker technology ensure that reports are completed in as little as 2–3 business days—even during high-volume seasons.