Title Insurance: Understanding the Need when Buying a Home

One of the costs of closing is Title Insurance, why do I need it?

Title Insurance protects you from someone claiming ownership of your home once it closes.

Can you imagine living and enjoying your new home and then one day, someone comes calling that the house you call home is rightfully theirs? Title Insurance gives you peace of mind against that.

 

Here are some reasons why you want Title Insurance:

•   A deed or mortgage in the chain of title may be a forgery.
• Claims constantly arise due to marital status and validity of divorces.
• A deed or mortgage may have been made by an incompetent or under aged person.
• A deed or mortgage made under an expired power of attorney may be void.
• A deed or mortgage may have been made by a person with the same name as the owner.
• A child born after the execution of a will may have interest in the property.
• Title transferred by an heir may be subject to a federal estate tax lien.
• An heir or other person presumed dead may appear and recover the property or an interest.
• A judgment regarding the title may be voidable because of some defect in the proceeding.
• By insuring the title, you can eliminate delays when passing your title on to someone else.
• Title Insurance reimburses you for the amount of your covered loss.
• Title Insurance helps speed negotiations when you're ready to sell or obtain a loan.
• A deed or mortgage may be voidable if signed while the grantor was in bankruptcy.
• Claims have risen dramatically over the last 30 years.
• There may be a defect in the recording of a document upon which your title is dependent.
• Title Insurance covers attorney fees and court costs.
• Many lawyers protect their clients as well as themselves by procuring title insurance.
• A deed or mortgage may have been procured by fraud or duress.

And best of all.....a title policy is paid in full by the first premium for as long as you own the property.

The bottom line is....one just needs Title Insurance. 

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 Your Ventura County Realtor – You can reach me anytime at (805)-746-1793

Search for Ventura County Real Estate

Or via email at kathyst@kathyst.com

I look forward to hearing from you