If, after closing, you find a lien or defect on your property that pre-dated your ownership of the property, and if it doesn’t fall under exceptions as stated on the policy, then you can file a title claim.
What is the cost of title insurance? The cost of title insurance is directly related to the value of the property. The greater the value, the more insurance coverage is needed.
Buying a property is certainly one of the biggest investments in life. To protect your financial investment, make sure to buy title insurance, which protects against hidden title hazards.
Title insurance covers your valuable possession in the event of an unexpected circumstance, thus giving you peace of mind that you will not suffer a huge loss if any claim arises related to the ownership of the property.
A title search can reveal a number of title defects and liens, as well as other hindrances and restrictions. Some of them are unsatisfied mortgages, unpaid taxes, judgments against the seller and prohibitions limiting the use of the land.
What protection does title insurance provide against property defects and risks? Title insurance will pay for all costs, fees and expenses involved in litigation for defending against property claims.
An easement is an agreement which gives someone the right to access a certain part of the property, for instance to a utility company, to maintain a sewer line. The title insurance also protects you from previously undiscovered utility easements.
Do you know that a title insurance policy also protects you from conveyances by an heir, devisee or survivor of a joint estate who tries to attain title by fraudulent means?
Do you know that title insurance's primary focus is proactive, not reactive? This means it aims to prevent issues from ever arising in the first place.
Do you know that the owner’s title insurance policy also protects you against the unknown heir of a previous owner who is claiming ownership of the property?
Lender's title insurance protects the mortgage company from claims against the title centering on ownership. In case of a dispute that goes against the purchaser, the lender will be reimbursed the amount loaned.
What is title insurance? It is a policy that insures against damages and problems that arise due to issues surrounding the ownership of a piece of real property or from any liens that have been placed against it.
As a buyer, you do not want to deal with the surprise of multiple ownership issues on the property you are purchasing. This is a primary role of the title company and title insurance – to protect against this.
A homebuyer is not limited to the title insurance company recommended by a real estate agent. By law, a borrower is permitted to procure the services of any licensed firm.
Do you know that for a one-time premium, an owner‘s title insurance policy remains in effect as long as you, or your heirs, retain an interest in the property?
Some of the common claims, or risks, covered by a title insurance policy include, forgery and fraud, undisclosed prior mortgage or lien, lack of right to access, lack of competency or legal authority of party, and deed not properly recorded.
Title insurance and mortgage insurance, although they serve the same purpose of protecting the lender, are actually two different documents. Typically, the title insurance premium is paid at the beginning of the transaction as a onetime fee.
Always check your name as it appears on all documents, including the title insurance. Any oversight in this area can cause extensive aggravation later on. If you detect incorrect spelling, word order, or a wrong name, make sure to let the title company know.
Is there an expiration date on title insurance? Not really. The policy lasts as long as the owner (or the owner’s heirs) holds the deed to the property.
Title insurance and home warranties are two different policies. Home warranties offer protection against defects and problems with the home’s major appliances and systems (electrical, plumbing, heating, air-conditioning). Title insurance protects against claims on the property from outside agencies.
Will you be selling a property that you inherited? Title insurance protects you in the event there is an unnamed heir (or heirs) who may want to stake a claim to it.
There are two kinds of title insurance policies: an Owner’s policy and a Loan Policy. While each is obviously for the different parties in a real estate transaction, they both serve the same purpose - to protect against any problems with a title claim.
