Title Insurance: What You Need to Know
We all know the purposes of health and life insurance, but what about title insurance? When buying or selling a home, title insurance is an important factor that shouldn’t be overlooked. In fact, it is an essential component of the home buying process thanks to the protections that it provides. Here’s everything you need to know to be an informed buyer.
Title Insurance Guarantees Your Home Is Actually Yours
A home cannot be transferred into your name without a clear title. The title is a document that grants you ownership to the land and the rights to modify or transfer what you own. Unfortunately, the process of passing the home’s title from owner to owner can get complicated.
There is always a chance that your seller actually lacks free and clear ownership of the house and property. If you unknowingly purchase a home that does not have a clear title, you could lose everything, including your investment and the home itself. Title insurance is a form of indemnity insurance that prevents this nightmare from happening to you.
Title Insurance Investigates and Protects
Title insurance involves a relatively low one-time cost, so you don’t need to worry about recurring monthly premiums. The fee provides a wide range of protections. Your closing agent or attorney will help you get the title insurance process started.
First, your title insurance agent will search property records to ensure that no problem exist with your title, such as clerical errors, mistakes in records, undisclosed heirs, omissions in deeds, unknown liens, or blatant fraud. This part of the process confirms that the seller truly owns the property and can legitimately sell it to you.
The second portion of title insurance protects you in the future. If anyone ever challenges your title, or if new information surfaces that proves you purchased an illegitimate title, your insurance will compensate you for any equity that you lose in the process. Though it is very unlikely that this will happen thanks to the due diligence of your attorney in the first portion of the process, it’s still important to maintain this component of protection.
Get Your Title Insurance Before It’s Too Late
Benefit Title Services, LLC serves homeowners and realtors throughout Florida with personalized and seamless title insurance services. The experienced team at Benefit Title Services works to resolve any potential title problems early so that closings are accurate, timely, and cost-effective for everyone involved.
Call (800) 237-9190 today to start your own title insurance process today.
