Title Insurance
What is title insurance?
Title insurance is a proactive risk assumption based policy that covers you from damages should there be an issue with your property’s title when purchasing real estate. The protection works by having a title examiner research the history of your property for any leins, unpaid taxes, or other descrepancies that could lead to your ownership in the property to be jepordized.
Unlike other insurances, title insurance is a one-time premium paid during your closing.
Types of Policies
Owner's Policy
Optional for a Buyer- Protects home owner
- Protection lasts for as long as home owner or their heirs own the property.
- Covers home owner for valid claims up to the face value of the policy.
- Covered risks can include: forgery/fraud, tax/assesment leins, unpaid mortgage leins, easements, unmarketable title, and more.
- Protection from costs associated with defending against an insured matter; including attorneys’ fees.
Lender's Policy
Mandated by Lender- Protects Lender
- Protection for the life of the loan.
- Mandated by lender on most purchases.
- Protects agains covered risks.
- Ensures their mortgage lein is the only lein on the property.
- Protection for the owner
It Costs Less Than You Think
Title insurance is more affordable than you think and offers you priceless peace of mind. The national rate calculator by Fidelity National Financial provides you accessible and accurate estimates from the comfort of your home.
The Title Insurance Process
1. Request Title Insurance
This usually happens through a buyer’s attorney or agent.
2. Records Search
The insurance agency performs searches get a full history of your property.
3. Titel Examination
All records are then examined and analyzed for possible impact to your property’s title.
4. Commitment
The agency will issue a commitment to insurer your title with all the specifications.
5. Clearing Any Clouds
The agency will then try to correct (clear) any issues (clouds) that might give a reasonable person doubt in moving forward with accepting the title.
6. Closing and Premium Payment
You will close on your property and pay your title insurance premium as part of the closing process.
7. Policy Issued
Your actual policy will be delivered by the title agency on behalf of the insurer after your closing.
8. Protected for Life
Your title insurance protects you and your heirs for as long as you or they have an interest in the property.