FAQs
what is title insurance and why do I need it?
Is title insurance mandatory?
When does title insurance start and end?
My mortgage lender wants me to
use a certain title company, do I need to use them?
what is title insurance?
The purpose of title insurance is to ensure the purchaser
as well as lender that no individual or government entity has any claim, lien
or encumbrance on the property that is being purchased or
refinanced. This gives both the purchaser and the mortgage lender
piece of mind, knowing that the investment is fully protected.
We accomplish this by searching numerous public records.
After thorough examination of all records pertaining to the property
and previous owners a title commitment is issued. Upon the
completion of the settlement any claim that may be filed as a result
of undisclosed or unrecorded information is covered by that policy.
We also ensure proper transfer of title/deed as well as fill all
recordings.
Is Title insurance mandatory?
Yes, it is if you need a mortgage (as most people do), because all mortgage lenders require protection for an amount equal to the loan. As with mortgage insurance, it protects the lender but you pay the premium, which is a single-payment made upfront.
Title Insurance period
Unlike most insurance such as life insurance, which
protects against claims that arise after the policy is issued, title
insurance only protects against losses from claims that arise prior
to the date of the policy. Coverage ends on the day the policy is
issued and extends backward in time for an indefinite period.
Choosing a title company text
You'll find that many lenders, real estate companies or other
parties involved in the transaction actually own part of the title company.
The lenders are able to set certain standards for the insurer, but
there are federal laws that prevent you from being required to
purchase title insurance from any particular company. Shop around
and you'll find that Lloyds & Handson's rates are competitive.
Combine that with our high level of service and you'll find that we
offer piece of mind at a reasonable rate.
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Do I really need a title agent? The quick answer is "yes".
It's rare, but even in today's world of information, steps get
missed and mistakes happen.
Messy divorces, untimely deaths, inheritance disputes and improper
documentation are all factors that could lead to a dispute over
ownership.
You don't want to be held responsible or be the victim of another
party's carelessness. You need a title agent to sort through the
house's transaction history and make sure everything is correct. |
 What we do.
Our agents will check the history of your property by looking
through public records, like deeds, mortgages, wills, divorce
settlements, court judgments, and tax records, just to make sure
that the person selling the house does indeed have the right to do
so. |
Is there more?
Of course! Doing the research into a house's history is only half
the job. Title agencies also provide insurance against any future
claims on the house by third parties. The price that is disclosed to
you as part of your closing costs reflects the amount for both
research and insurance.
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