Title Insurance

The major reason for having title insurance is to protect the investment that you have made in your real estate purchase. Title Insurance is purchased once and protects you for as long as you own your property.

Title Insurance insures you against any defect in the title to your property. A title search is made prior to closing and all defects should be discovered at this point, but mistakes can be made which leaves you, the new owner at risk.

A few common questions are:

What exactly is a "title"?

A title is the proof that you have the right to the ownership and use of the land and improvements. It is possible that someone else may have a legal right to the property as well and this should be determined in the title search.

What makes a title defective after a title search?

While title searches are carefully done, hidden and unforeseen circumstances may surface over the years. These could be a forgery on a deed, undisclosed or missing heirs, fraud in a previous execution of documents, clerical errors, false inpersonation, undue influence, unsatisfied claims not shown in the public records or deeds signed by someone under an expired power of attorney. Regardless of how careful the title examiner is, he/she would not be able to detect any of the possible scenarios above.

The lender requires me to have title insurance, isn't this enough?

The lender's title insurance insures that the lender has a valid, enforceable lien on your property and only insures him and has no coverage for you.

How much does title insurance cost?

This is a one-time fee and is determined by the value of your property.