As a real estate agent, you are familiar with how easily your clients can become overwhelmed by the process of buying a home. The amount of paperwork, along with the fees associated with closing can sometimes surprise even an experienced buyer. Homebuyers often misunderstand the owner’s title insurance despites its immense value to them. In your role as an important advisor to your clients, you can help them understand the importance of title insurance and the dangers they risk by not having it. Read on for all of the features every realtor should know about owner’s title insurance.
What Title Insurance Is
Of course, the most important thing to know about title insurance is what it is and what it is offering homebuyers. Owner’s title insurance essentially is a policy that protects home buyers’ property rights. While a bank requires a lender’s title insurance policy, a homebuyer will obtain the owner’s title insurance to protect their legal claims to their new home.
How Title Insurance Protects Homebuyers
Let’s look at a situation in which owner’s title insurance can protect a new homebuyer. Your client recently purchased a home from a builder, but the builder failed to pay the roofer. Waiting to be paid, that roofer filed a lien against the property. Without owner’s title insurance, the new homebuyer would be responsible for paying this existing debt! With title insurance, the homebuyer is protected from legal or financial responsibilities that are not their own.
Title Insurance Has Enduring Value
A great benefit to possessing owner’s title insurance is that it will protect the homebuyer financially as long as they or their heirs own that home. For a relatively low, one-time fee at closing, homebuyers can get peace of mind knowing that they are protected against any unforeseen defects that could cause them financial loss.
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+.