No title insurance in subject 2?

I just finished typing up my first sub2 purchase contract. All set to take over to the seller to sign on the dotted line and I got an email from a real estate lawyer I met with earlier today. Included in the text of his message was “To obtain title insurance on the property, the bank or financial institution ('mortgagee”) which holds the first mortgage on the property would have to agree to your assumption of the mortgage and the transfer of the property to you. " I’d reached a personal comfort level with the DOSC thanks to the repeated discussion, but now the wrinkle of not being able to get title insurance?

Say it ain’t so…

Sounds like the attorney does not know how to close SUB2 deals, or your contract states that you assume the loans no take it SUB2.
When I close SUB2 I allways get the title insurance, but I do the title search beforehand also. So if you would order a title search through your attoreny, title insurance will be no problem.