If you are buying commercial property, your lender or title company will likely ask for an ALTA land survey before the deal can close. Many buyers hear this term for the first time and are not sure what it means. This article breaks it down in plain language so you know what to expect.

What Is an ALTA Land Survey?

An ALTA land survey is a detailed inspection of a property. It is the most thorough type of survey used in commercial real estate. ALTA stands for the American Land Title Association. Together with the National Society of Professional Surveyors, they created one set of national rules that every ALTA survey must follow.

Because every ALTA survey follows the same rules, a lender and a title company anywhere else in the country can look at the same document and understand it the same way. That is why commercial real estate depends on it.

What Does an ALTA Survey Cover?

An ALTA survey does a lot more than draw a line around a property. The surveyor goes out to the site, takes measurements, and also digs through public records. All of that information comes together in one certified document.

A standard ALTA survey includes:

• Property boundary lines and corners
• Location of all buildings and structures on the property
• Easements and rights-of-way that cross or affect the land
• Encroachments from neighboring properties
• Access points, driveways, and entry paths
• Above-ground utility lines
• Zoning setback lines
• Flood zone classification

Buyers and lenders can also add optional items called Table A items. These include things like parking space counts, underground utility locations, and the total land area. The items chosen depend on the type of property and what the lender or title company needs.

How It Differs from a Standard Boundary Survey

A standard boundary survey shows where a property begins and ends. That works well for many situations, like confirming where a fence should go. But it does not go far enough for a commercial deal.

An ALTA survey covers everything a boundary survey does, plus much more. It shows the full condition of the property, including anything on it, around it, or affecting it. It also follows national rules instead of state rules, which can vary from place to place.

When a lender is approving a large loan, they need to know about access issues, encroachments, and easements. A title company needs the same information before they agree to insure the property. A basic boundary survey cannot give either of them what they need.

When Is an ALTA Survey Required?

Most commercial deals that involve a lender or title insurance company will require an ALTA survey. This includes purchases, refinancing, and many land development projects in Muscogee County and the Columbus area.

Title companies in Georgia will often refuse to issue a commercial title insurance policy until a current ALTA survey has been reviewed. The survey helps them see exactly what they are agreeing to insure, especially when it comes to easements and encroachments that do not show up in public records.

An ALTA survey is not only ordered when you first buy a property. Refinancing or redeveloping a site can also require one, depending on what the lender and title company need.

Who Orders It and When?

The buyer, developer, or lender usually orders the ALTA survey during the due diligence period. This is the period of time before closing when all parties check the details of the deal.

Ordering the survey early matters. An ALTA survey can take two to six weeks to finish, depending on the size of the property and how much research is needed. Starting late can delay closing and cause problems for everyone in the transaction.

For commercial buyers, the best approach is to order the survey at the very start of due diligence. That way, any issues found can be addressed before they hold up the deal.

Why It Matters

An ALTA land survey gives every person in a commercial transaction, whether buyer, lender, attorney, or title company, a clear and verified picture of the property before money changes hands.

For anyone buying commercial property, understanding what an ALTA survey covers and when it is required helps you go into the process with confidence and fewer surprises.