Chances are that a significant chunk of your paycheck goes straight to your car insurance, health insurance, and life insurance payments. You know that these methods keep you and your loved ones financially protected in the case of an emergency. However, you may need to be reminded about the importance of title insurance as you prepare to purchase your new home.
Title insurance is an essential component of the home buying process thanks to the protections that it affords you. Though it may not be at the front of your mind as you work through the cumbersome process of buying a new home, it should be!
Title Insurance Gives the Most Important “Double Check”
When you purchase your home, there is one seemingly simple piece of paper that can make or break your investment. A home cannot, under any circumstances, be transferred into your name without a clear title. A title identifies ownership, which means that past ownership obstacles and conflicts like judgements and divorces might cause issues.
Unfortunately, there is always the chance that your seller actually lacks – or a previous seller lacked – free and clear ownership of the house and property. If you unknowingly purchase a home that does not have a clear title, you could lose everything, including your investment and the home itself. Title insurance tampa is a form of indemnity insurance that prevents this nightmare from happening to you.
Protect Your Most Valuable Investment
Title insurance involves a relatively low one-time cost, so you can protect such a major investment without unwanted recurring costs. Title insurance provides you with a wide range of essential protections. First, your probate attorney st petersburg will search property records to ensure that no problem exist with your title, such as clerical errors, mistakes in records, undisclosed heirs, omissions in deeds, unknown liens, or blatant fraud. This part of the process confirms that the seller truly owns the property and can legitimately sell it to you.
The second portion of title insurance protects you in the future. If anyone ever challenges your title, or if new information surfaces that proves you purchased an illegitimate title, your insurance will compensate you for any equity that you lose in the process. Though it is very unlikely that this will happen thanks to the due diligence of your personal injury attorney lakeland in the first portion of the process, it’s still important to maintain this component of protection.