Title insurance is one of the fees that your lender will request you purchase once you close on your home. In fact, home buyers often wonder whether title insurance is actually worth the cost associated with it. Here are some important things to know about title insurance.
What Exactly Is Title Insurance?
Title insurance offers protection against any potential claims that comes against the ownership of your property. In fact, there are two different types of title insurance policies out there. The first is the lender’s policy and the other is the homeowner’s policy. Each and every policy gets paid only once- as opposed to a recurring monthly payment you have to pay along with your mortgage payments.
What Will Title Insurance Protect You From?
Title insurance will protect homeowners from hidden hazards and claims that may be made after you’ve completed the home purchase. In fact, it’s your title company that will always do the title search for your during closing. This will ultimately help you know if the seller has a clear title without any legal claims. These potential claims can include things like liens from a financial institution or creditor like the government due to unpaid taxes. But, claims can also come from relatives who feel like they were cheated when the property was sold by a previous owner.
Is Title Insurance Really Worth It?
Yes. From experience, hidden issues can occur at any time. Protecting your title ownership is essential. In fact, from an oversight during title research to an unknown heir, there are a lot of things to consider when it comes to protecting your ownership rights to the property you just purchased. That is why a homeowner’s title insurance policy is so important. If a title defect occurs, having protection will be the best way to protect your interests in your home.
A Title Company You Can Trust: Colony Title
At Colony Title, we will help you through the process of getting your property’s title and help you avoid the pitfalls of hidden costs while you buy your home. We are also well trained in identifying any and all errors in public records and helping you resolve them. We specialize in real estate title insurance in both Maryland and Washington, D.C., and we will perform an expert title search, check through all past documentation, and examine records for any fraud or forgery. For more information on how we can get you into the home of your dreams, contact us online or give us a call at (410) 884-1160. To get more updates on housing markets and how to get into your home, follow us on Facebook, Twitter, LinkedIn, and Google+.
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