Why Do I Need Title Insurance In Newburgh NY?

Real Estate Agent with Key Properties of the Hudson Valley NYS DRE #40BO1055114

  I Just Paid You for a Title Search on My New Home …

Why do I need Title Insurance in Newburgh NY?   


Newburgh NY Home InteriorDuring any closing of Real Estate in Newburgh NY, the attorney will go over all the fees and credits given to the buyer. At this time he tells the buyer exactly what the cost of the Title Insurance Policy will be. As a buyer you might be wondering, “ I thought I already paid for a Title Search? If the job was done correctly, why would I still need insurance?”  A great question actually, as it would seem to be a cost that could be eliminated. It is only a one time fee at closing, but with closing costs so high, maybe it could be eliminated. The answer is that mortgage companies all require the buyer to purchase the policy. The reasoning on this is quite logical.Newburgh NY Home For Sale

In a perfect world a search would be easy and clear title would be a non issue. This is actually the case for most transactions. Since we don’t live in a perfect world and mistakes are made, having Title Insurance when buying a Newburgh NY home is important. The policy is usually just for the mortgage value, although you are given a choice to increase the number should the value of the home increase. That option is explored with your attorney at closing.

The policy covers any claims to the property after closing. Sometimes it is the fault of the Title Company and other reasons are from what can be unknown at the time of closing. Fraud has been known to happen and the list goes on. These are some of the issues that can come up after closing.

  • Errors or omissions in deeds

  • Mistakes in examining records

  • Forgery

  • Undisclosed heirs

  • Liens for unpaid taxes

  • Liens by contractors

Of course most people don’t ever have an issue, but being the one in million is not something that anyone would want. Even if you don’t have a mortgage on your home it is advisable to have Title Insurance anyway. Penny wise and pound foolish when purchasing such a large investment can cost you big time if something should arise.


When buying your Newburgh NY home it is good to know the process. I hope this answers this question for you. Please contact me when you are ready to buy or sell in Newburgh NY and allow me to help you with all your Real Estate needs.

Janis Borgueta is a Realtor in Newburgh NY. Her blog is about living, working and real estate in The Hudson Valley. If you would like more information about Real Estate in Newburgh NY and Living in the Hudson Valley, please subscribe to this blog.


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Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

Janis- what a great answer to a pretty logical question.  I'd bet Realtors get asked that question all of the time too.  

Jun 04, 2012 08:43 AM #1
Janis Borgueta
Key Properties of the Hudson Valley - Newburgh, NY
LIC RE Salesperson - Hudson Valley Homes for Sale

Kathy ~ people ask just about everything that you can think of that is obvious. Unless you are in the business it is something that doesn't always become part of your knowledge base. Also by factoring into the fact that the process changes where you live.... the questions are many...


Jun 04, 2012 09:21 AM #2
Roger D. Mucci
Shaken...with a Twist 216.633.2092 - Euclid, OH
Lets shake things up at your home today!

And this is why you do what you do, and I do what I do................whew!

Jun 04, 2012 11:19 AM #3
Carie Shapiro
North Shore Suburbs & Chicago Real Estate - Wilmette, IL

Yes, title mistakes can happen at any time with any property.  One never knows ... so better to be safe than sorry.

Jun 04, 2012 03:40 PM #4
John McCormack
Albuquerque Homes Realty * www.AlbuquerqueHomes.com - Albuquerque, NM
AlbuquerqueHomes.com, Albuquerque Homes Realty

Janis, you're exactly right it's rare that there is a problem but I'm with Carie,' better safe than sorry!'

Jun 04, 2012 05:33 PM #5
Janis Borgueta
Key Properties of the Hudson Valley - Newburgh, NY
LIC RE Salesperson - Hudson Valley Homes for Sale

Roger... I have a different hat for every day of the week.. Some are more fun than others

Carie~ Mortgage companies do require it .... but when people pay cash they are advised to purchase it anyway.. as a major issue down the road and they would be in big trouble

John` I have never seen anyone get crazy and complain..

Jun 04, 2012 06:22 PM #6
Ellen Caruso
Daniel Gale Sotheby's International Realty - Glen Head, NY

Janis, a very clear and convincing perspective. Always better to be safe.

Jun 04, 2012 08:19 PM #7
Ginny Gorman
Phillips Post Road Realty ~ 401-529-7849~ RI Waterfront Real Estate - North Kingstown, RI
Homes for Sale in North Kingstown RI and beyond

Janis, i have had clients who have opted out but I would never advise it especially with all the short sales and REOs purchased..it is your insurance on a home purchase.

Jun 05, 2012 03:16 PM #8
Janis Borgueta
Key Properties of the Hudson Valley - Newburgh, NY
LIC RE Salesperson - Hudson Valley Homes for Sale

Ellen ~ Banks require it so that they are protected... you are ultimately responsible and if you owe money and dont have the house.. they still expect you to pay.

Ginny ~ I have not even had anyone that has paid cash opt out on this.. yet.. lol

Jun 05, 2012 03:24 PM #9
Donald Reich
Prudential Centennial - New Rochelle, NY

Tittle insurance is even more important when dealing with short sales and foreclosures. There are bound to be more liens on a property like that, and more chances for mistakes to be made. Then the insurance will be a real lifesaver!


Jun 05, 2012 06:43 PM #10
Janis Borgueta
Key Properties of the Hudson Valley - Newburgh, NY
LIC RE Salesperson - Hudson Valley Homes for Sale

Yes Donny.. I see cash deals on short sales in the City of Newburgh and it is a choice.. but the attorneys all insist for the buyers to get it.. I have not seen anyone refuse up til now. 

Jun 05, 2012 06:52 PM #11
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Janis Borgueta

LIC RE Salesperson - Hudson Valley Homes for Sale
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