To the Buyer or Borrower on Residential or Commercial Properties
Why Title Insurance?
Did you know that it’s possible to lose your home or property because of a bill left behind by the previous owner? This can be prevented by having a thorough title company on your purchase or refinance.
Lenders require a title insurance policy when there is a mortgage on a purchase or if you are refinancing a property. This policy is called a Lender’s Policy and it protects the lender’s interests should a problem with a title arise. It does not protect the buyer.
You should have a policy to protect your investment as well. For a small additional fee you can have an owner’s policy cover the full amount of what your real estate is worth. An owner’s policy can protect your property rights for as long as you or your heirs own the property.
Both policies protect the lender and you from:
- Unpaid mortgages
- Unpaid property taxes
- Child support liens
- A missing heir who could claim the property belongs to him or her
- Missed easements or rights of way that could limit your use of the property
- Documents signed by minors or someone incompetent
- Deeds executed under an expired power of attorney
- Errors on the public record
- Boundary lines disputes
Title searches reveal problems on more than a third of all residential and commercial real estate transactions. That is why an experienced title company should be used in the your commercial or residential real estate transaction.