Should I Buy Title Insurance?…What if, what if, what if, can drive you crazy.
1. A fire can destroy your house and the improvements thereon; but the land is still there! A defective title could be the cause to take away that land from you! Title Insurance protects against such loss.
2. There may be a forgery in a deed or mortgage within the chain or title.
3. A person under age may have signed a deed or mortgage.
4. A person “medically proven incompetent” may have executed a deed or mortgage.
5. A deed or mortgage may have been executed by a power of attorney after its termination and would therefore be void.
6. A person, other than the owner, but with the same name as the owner, may have made a deed or mortgage on the property.
7. The testator of a will might have had a child born after the execution of the will. That would entitle the child to claim his or her share of the property.
8. A deed or mortgage may have been procured through fraud or under duress.
9. Title transferred by an heir may be subject to a federal estate tax lien.
10. An heir or other person presumed dead may appear and recover the property or an interest therein.
11. A judgment or levy upon which the title is dependent may be void or voidable due to a defect in the proceeding.
12. If claims arise, title insurance covers attorney’s fees and court costs.
13. Title insurance evidences clear title when an individual is ready to sell or buy property.
14. Investors can eliminate delays and technicalities when passing title to another.
15. Buyers are reimbursed for the amount of losses covered by the title insurance.
16. A deed or mortgage may be voidable because it was signed while the grantor was in bankruptcy.
17. Title insurance remains with an individual or the heirs own the property as long as they retain ownership.
18. Only title insurance protects against claims made by non-existent or divorced spouses.
19. There may be a defect in the recording of a document which your title is dependent.
20. With identity theft on the rise, claims have risen dramatically over the last decade.
Protect your investment!