What is Title Insurance?
A title policy is an insurance policy that protects the financial interest in a property. There are two types of title insurance policies. The lender’s title insurance policy and the owner’s title insurance policy.
Typically, the lender will always purchase a lender’s title insurance policy to protect their investment. This insurance policy fee is part of the closing costs and is always reflected as a lender charge on the closing disclosure.
The owner’s title policy is an optional insurance policy that is not required in order to purchase a home. However, any Real Estate Professional that you work with will always recommend the purchase of this policy, in order to prevent any financial losses to the new home owner from previous home ownership.
Why is Owner’s Title Insurance important?
What does Title Insurance protect?
What is A Real Estate Title Search?
In Real Estate, a title search is the process of verifying the home seller’s right to transfer property ownership to someone else. It verifies any claims, errors, assessments, debts, any type of liens, any title deficiencies, and any restrictions that may be outstanding on the property.
Take a look at this excellent guide by McMichael & Gray, a reputable Attorney Law Firm in the Atlanta area.
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