What Is Title Insurance, And Why Do I Need It?

Potential clients and first time buyers usually ask this question. It's not one of the easiest answers to give. Most of the time a mortgage is required, so the lender requires a title policy. In some types of ownership transfers, title insurance is not required, or necessary. A good title company can help you determine your needs.

Listed below are a few of the hidden risks that are covered under an owner's policy:

• Documents executed under false, revoked or expired powers of attorney;
• False impersonations of the true property owner;
• Undisclosed heirs;
• Improperly recorded legal documents;
• Prescriptive rights in another not appearing of record and not disclosed by survey;
• Defective acknowledgments due to improper or expired notarization;
• Corporate franchise taxes as liens on corporate real estate assets;
• Gaps in the chain of title;
• Mistakes and omissions resulting in improper abstracting;
• Forged deeds, mortgages, wills, releases of mortgages and other instruments;
• Deeds by minors;
• Deeds which appear absolute, but which are held to be equitable mortgages;
• Inadequate legal descriptions;
• Errors in tax records;
• And many more.

Owners Policy-Homeowner

Just as lenders want security with their loan policy, you should want to protect your investment with an owner's title policy. For a low, one-time premium you can receive an owner's title insurance policy to protect your property against hidden risks or undiscovered interests.

The Owner's Policy Provides:

• Protection From Financial Loss due to covered claims that may be asserted against the title to your property, up to the face amount of the title policy.
• Payment Of Legal Cost if the title insurer has to defend your title against a covered claim.
• Payment Of Successful Claims against the title to your property covered by the policy, up to the face amount of the policy.

Peace Of Mind

Title insurance adds security and peace of mind to your ownership. Remember that a policy issued by Kendall County Abstract Company can help you prevent the potential loss of your property due to these causes as well as many others. If you have any questions about title insurance, call your local title compnay. They will be happy to answer your questions.

Owning real estate is one of the most precious values of freedom enjoyed in this country. When you decide to buy any type of real property, you want to be sure the property will be yours and that no one else will have any liens, claims or encumbrances against your property other than those disclosed to you or arranged by you (such as a mortgage).

If you are buying or selling real property, having a title policy protect the transaction gives everyone involved peace of mind.

If you are considering buying or selling real estate in the Texas Hill Country, check out our website: www.taylorhometeam.com