Titl Title Insurance

A title insurance protects you from any complications arising from title (ownership) issues on the new house. The home might have been through several ownership changes before you bought the home, and also the land upon which it stands may have been through even more transfers. It is possible that a weak link at any part of the chain of title could cause ownership problems. As an example, someone may have forged a signature when transferring title, or there might be unpaid property taxes or liens in the property. Title insurance covers the property owner as well as the lender for almost any claims and legal fees that arise from those types problems.

Title insurance protects against losses due to events that occurred before the date of the policy. Insurance coverage ends at the time the title policy is issued and extends backward over time for an indefinite period. Property and life insurance policies works precisely the opposite way, those policies protect against losses resulting from events that occur following the policy is issued, for a specified period in to the future.

It generally does not protect the owner's equity in the property. To protect the equity in the home (i.e. down payment & property appreciation), you'll need an owner's title policy. In many areas of the country, home sellers pay for owner policies as part of their obligation to deliver good title (without liens or encumbrances) to the buyer. In other states tube home buyer purchases an owner's policy as an additional cost with the lenders policy. We believe purchasing an owner's title policy because the small added cost is definitely worth the additional