Buying a home doesn’t just end with the purchase process itself. There are other things you need to think about once you decided to make an investment. This includes securing your ownership over the property when anything unexpected happens. Fortunately, there’s now a policy that can fully protect your claim as proprietor of the land you’ve acquired.
Here’s a brief explanation of what title insurance means:
What is Title Insurance?
Title insurance is an insurance policy, which covers any loss of property ownership due to defects, damages, and errors, legally or not. Though a typical policy is usually for the lenders, there’s now a separate insurance paid by the seller to help secure the buyer’s equity in their purchased property.
Defining “Land Title”
When owning a property, this is not handed to you physically. Instead, you are given a title to confirm your proprietorship over it. Thus, title acts as a proof of your ownership in your home in its entirety.
How Can Title Insurance Help You?
When you purchase a house or any type of property, you expect to enjoy the benefits of it. In simple terms, you’re after occupancy without any added obligations or debts, which is not created by you. This is when a title insurance company can assist you, says Town Title Agency. Having your own policy covers this type of concern to save you from anything you never agree to be responsible for. Thus, it ensures your ownership, as well as provides you with the rights you deserved and bargain for.
What Will It Cost You?
The cost usually varies based on the total value of your owned property. You must remember, however, that this insurance should be only paid once. The coverage stretches up until your future successor. Same goes with whoever is going to purchase it from you; they should remain protected and secured by this policy.
While this policy is a lot more complicated as compared to the normal insurances, understanding the basic principles behind it can certainly benefit you. Whether you’re a buyer or a seller, this type of legalities and coverage are worth knowing.