Title Insurance
Title insurance is a special type of insurance that protects property owners and lenders from potential legal issues or claims related to a property’s title (ownership rights). Unlike other types of insurance that cover future events, title insurance protects against past problems that could threaten ownership. The title insurance premium is a one-time payment at closing and covers you for as long as you own the property.
Why is it important?
When you buy a property, you expect to receive a clear title—meaning you are the rightful owner without any hidden claims, debts, or legal disputes. However, past issues might not always be visible, even after a title search. Title insurance safeguards against these risks.
What Can Title Insurance Protect Against?
- Unknown Liens – Unpaid debts from previous owners (e.g., unpaid taxes, contractor bills).
- Forgery & Fraud – Fake or forged signatures on past documents that could challenge ownership.
- Errors in Public Records – Mistakes in paperwork that affect the legal status of the property.
- Undiscovered Heirs – A missing heir from a previous owner could claim rights to the property.
- Conflicting Ownership Claims – Disputes over who legally owns the property.
Why you need it
- One-time payment at closing for long-term protection.
- Peace of mind knowing your ownership is legally protected.
- Financial security against unexpected title disputes or legal battles.
- Without title insurance, you could face costly legal issues or even risk losing your property. That’s why it’s a critical safeguard in any real estate transaction.
