A title insurance company provides you the homeowner and your mortgage lender with title insurance to protect both parties from title claims against the property. The insurance protects you and the lender from financial loss and legal costs associated with title claims. How does the process of title insurance work? Read on to find out.
What Does a Title Insurance Company Do?
When you enlist the services of a title insurance company in Columbia, the company begins what is known as a title examination. This process involves extensive research of the ownership history of the property to search for any potential issues with the title. This includes issues such as unpaid liens and taxes, or judgments or outstanding mortgages against the property. The title company may also do a property survey to determine the boundaries of the land and if there are any conflicts with these boundaries and the boundaries of neighboring properties.
It’s important to note that despite the title examination, there are issues which cannot be accounted for. Human error or malicious intent can result in everything from filing errors to fraudulent filings that could later result in a potential title claim. It is for this reason that it’s important to have title insurance, in order to protect yourself from title claims that could not have been predicted during the title examination.
Once the title examination and the property survey, the title company coordinates all parties involved (buyer, seller, lender, agents) at closing time to distribute funds, transfer ownership of the property and issue insurance. During your ownership of your home, if a title claim is made against your property, your Columbia title insurance company will cover the costs of legal proceedings and or losses arising as a result of the claim.
About Colony Title Associates:
Founded in 1995, Colony Title Group handles in excess of 2000 real estate closings per year in the central Maryland area. The founder Tee Tillman has over 23 years experience in the title and real estate law fields. Colony handles closings for several lenders, including banks, credit unions and mortgage brokers. Colony is the preferred choice for many real estate brokers in the Baltimore area. If you have any questions concerning issues that Baltimore title insurance protects you from, feel free to contact us at 410 884-1160 or visit ColonyTitle.com today!