Why You Should Consider Title Insurance When Buying a Home

The world of title insurance can seem mystical to the first time researcher of the subject. To understand it, first you must know that the essential qualities of a title endow you with the right to own, alter, control, make use of and dispose of the piece of property purchased without having to seek the permission of others. Buyers, however, should know that titles can come with hidden risks, including unpaid taxes and mortgage payments or even rival claimants to the ownership of the property. In fact, whether buying or selling, a title insurance policy can be the only obstacle between you and a frustrating or even devastating financial blow. Below you will find a few of the many reasons why you should consider title insurance when buying a home.

Thorough Checks and Potential Problems

A title insurance company, just like any business, is interested in protecting its investments. For this reason, a representative agent will conduct a full title search to root out and identify any defects or errors attached to the title. A defect may include mechanics liens placed against the property among a vast assortment of potential problems, while an error could be as simple as a misspelling of a name on the deed or other legal document. Thankfully, the title search is highly likely to drag all of these issues into the light, but, should even one fall through the cracks, you will still be covered by your policy effective at the time of closing.
Once enlisted, the title insurance company will allow a sale to go through until it is satisfied with the condition of the title. The agent may even hold the seller responsible for damages and enforce their repair. Remember, should any issues arise that were not caught by the title search, your insurance policy will protect you. The aforementioned points provide a few very solid reasons why you should consider title insurance when buying a home.

Other Issues

Numerous irritating or even crippling issues can arise long after closing day has come and gone, from a dispute centered on repair services rendered by a construction professional all the way up to uncertainty over the seller’s right to dispose of the property due to an unclear will. For example, the title might list joint ownership by a married couple when the buyer believes he or she is dealing with a sole proprietor. Or, the death of a wealthy uncle may have left the favorite nephew with the impression that he is endowed with the right to sell off the property when, legally speaking, he has no such right at all. Even a repaid home improvement loan may have erroneously left a lien against the property on record, which can definitely adversely affect the buyer. For these reasons and more, you should consider title insurance when buying a home.
Skilled and experienced professionals are waiting to answer any and all questions you may have pertaining to title insurance policies and the Florida real estate market. Contact Marina Title by email at [email protected], or by phone at (305) 901-5628.