Title Insurance May Prevent Delays at Closing

Buying a home is an exciting event. The search is over, the paperwork is almost done, and you’re on your way to owning a home!

For many home buyers, the process is painless; but for some, plans are delayed due to title issues.

A title professional is responsible for searching public records to ensure that your home is free of liens before you close on it, but sometimes things slip through the cracks. This is why it’s important to have title insurance.

What is title insurance?

If for some reason someone disputes your title claim, title insurance will help provide financial and legal assistance as you get the matter sorted out. There are two types of title insurance (Owner’s Policy and Loan Policy) but as a home buyers you should focus on obtaining an Owner’s Policy during the closing period of your home. It can be purchased for a one-time fee, although prices vary depending on state and region.

Why do I need title insurance?

There are some people in the real estate market who try to take advantage of eager home buyers. Public records can be forged and titles tampered with; as a result of the growth in online real estate sales, fraudsters can easily find targets.

On the other hand, title issues can come out of the blue and from a completely nonthreatening place. Perhaps the original owner filed multiple wills which conflict, or a previously missing heir claims entitlement.

You may think title issues only arise with older homes, but that’s not the case. Even a new house could have problems if the land it’s on has title issues.

Title insurance is considered a good investment for most buyers, as it provides protection for as long as you or your beneficiaries own the home.

Buyers can have peace of mind with title insurance. Talk to your insurance agent for advice.