Title Insurance.

What Is Title Insurance?

When you buy a home, you’re not just buying the house, you’re also taking on its history. Title insurance helps protect you from problems that may come up later, like unpaid property taxes, old claims on the home, or mistakes in the paperwork that shows who owns it.

There are two main types of title insurance. An Owner’s Policy protects you, the buyer. It helps cover legal costs or losses if someone challenges your ownership after the sale. The Lender’s Policy protects the mortgage company’s interest in the home until the loan is paid off. Most lenders require a Lender’s Policy, but getting an Owner’s Policy is optional. However, it is the smartest way to protect your biggest investment, and almost all real estate professionals will urge you to get one.

  • Being “independent” means our only priority and interest is you. Selecting an independent title company could be the most important safeguard to the integrity of your real estate transaction. 

    There are very few title agencies that are not affiliated or controlled by real-estate companies, mortgage lenders, builders or title insurance underwriters.  You should avoid any title agency that has an affiliation with a firm that has a substantial financial interest in the outcome of the transaction.

    For example, any affiliate firm that stands to collect a large commission if the transaction closes, should not be put in a position to influence the closing process.  To receive un-conflicted service, select an independent title agency.

  • Absolutely!

    Purchasing a home is often the single largest investment you’ll make in your lifetime.

    Title Insurance is a means of protecting yourself and your lender from financial loss in the event that problems develop regarding the rights to ownership of your property.

    There may be hidden title defects that even the most careful title search will not reveal.

    Also, keep in mind; title insurance is a one-time purchase that stays with you as long as you or your heirs own the home.

    When thinking about how expensive a home can be, and the possibility of significant loss, and then how low this one-time insurance purchase cost’s, there is really no insurance like it.

  • Executive Title employs knowledgeable, courteous individuals to facilitate the closing process. Once documents are received from the lender, we are able to prepare the settlement statement. Our closer will then explain the loan documents to our clients, answer questions, and direct the signing of final closing documents. After all required funds are received, we will disburse checks accordingly.

    • Purchases

    • New Financing

    • Cash Sales

    • Assumptions

    • Contract For Deed

    • New Construction

    • Seller Side Only

    • Refinances

    • Witness Signings

    • Traveling closers

    • Hybrid E-Closing

    • E(enhanced) Closing options

    • Flash-Close

  • If you are using a lender to purchase your new home, your lender will require you to purchase a “Lender’s Policy” (also known as mortgagee policy) in order to complete your loan. This covers the lender for the costs of its legal defense and protects the lender if there is a failure of title or if the status (priority) of their lien is different than expected.

    Lender’s title insurance protects the lender up to the amount of their mortgage. In addition, it protects the lender from title issues that may not have been found in the public records, such as documents executed via fraud or forgery. Typically, the home buyer can’t get a mortgage loan unless they purchase lender’s title insurance for the lender.

    Think of it like car insurance. If you take out a loan to purchase a car, your bank will require you to maintain insurance on your car, should an accident happen. Having this insurance in place protects their investment. The same goes for a home purchase.

  • When you purchase your home, you take “title” to your property.  Any number of problems that remain undisclosed after even the most meticulous search of public records can make a title defective. These hidden “defects” are dangerous because you may not learn of them for many months or years. Yet they could force you to spend substantial sums on a legal defense and still result in a potential lawsuit, significant financial loss, or even the loss of your property. Examples may include:

    • Improper Estate transfers

    • Improper execution of documents

    • Mistakes in recording legal documents

    • Divorce disagreements or marital liens

    • Past bankruptcy filings

    • Federal or State Tax Liens

    • Forgeries and fraud

    • Undisclosed or missing heirs (including divorces of previous owners of the home)

    • Unpaid judgments and liens from past owners

    • Unreleased mortgages from past owners

    • Mental incompetence of grantors on the deed

    • Impersonation

20 Reasons

to have Owner’s Title Insurance

Like purchasing any insurance (auto, fire, theft), you hope you will never need to use it, but if something unforeseen happens, thankfully you have it! Here are 20 reasons why purchasing Title insurance is a good decision.

  • A fire destroys only the house and improvements. The ground is left. A defective Title may take away not only the house but also the land on which it stands. Title insurance protects you against such loss.

  • A deed or a mortgage may have been signed by a person under age.

  • A deed or a mortgage may have been made by someone deemed legally incompetent.

  • A deed or a mortgage may have been made under a power of attorney after its termination and would, therefore, be void.

  • A deed or a mortgage may have been made by a person other than the owner, but with the same name as the owner.

  • The testator of a will might have had a child born after the execution of the will, a fact that would entitle the child to claim his or her share of the property.

  • A deed or mortgage may have been procured by fraud or duress.

  • Title transferred by an heir may be subject to a federal estate tax lien.

  • An heir or other person presumed dead may appear and recover the property or an interest therein.

  • A judgment or levy upon which the title is dependent may be void or voidable on account of some defect in the proceeding.

  • Title insurance covers attorneys' fees and court costs.

  • Title insurance helps speed negotiations when you're ready to sell or obtain a loan.

  • By insuring the title, you can eliminate delays and technicalities when passing your title on to someone else.

  • Title insurance reimburses you for the amount of your covered losses.

  • A deed or mortgage may be voidable because it was signed while the grantor was in bankruptcy.

  • Each title insurance policy we write is paid up, in full, by the first premium for as long as you or your heirs own the property.

  • There may be a defect in the recording of a document upon which your title is dependent.

  • Claims constantly arise due to marital status and validity of divorces. Only title insurance protects against claims made by non-existent or divorced "spouses."

  • Many lawyers, in giving an opinion on a title, protect their clients as well as themselves, by procuring title insurance.

  • Over the last 24 years, claims have risen dramatically.

We hope you never have a title claim.

Americans have the future in mind when they buy a house, and they purchase homeowner's insurance to help protect that future. But with homeownership comes the need to protect the property against the past, as well as the future. Title insurance protects a policyholder against challenges to rightful ownership of real property: challenges that arise from circumstances of past ownerships. Each successive owner brings the possibility of title challenges to the property.

Have questions or concerns? We are here to help!

Contact Us