FAQs

A title is the foundation of property ownership. It is the owner’s right to possess and use the property.

Title insurance is your policy of protection against “hidden hazards” – resulting in a claim against your ownership.

A title search is a detailed examination of the historical records concerning a property. These records include deeds, court records, property and name indexes, and many other documents. The purpose of the search is to verify the seller’s right to transfer ownership, and to discover any claims, defects and other rights or burdens on the property.

Because land is permanent and can have many owners over the years, various rights in land (such as mineral, air or utility rights) may have been acquired by others by the time you come into possession of it, even if the land has never before been built upon. So in order to transfer a clear title to a piece of land, it is first necessary to determine whether any rights are outstanding.

A title search can show a number of title defects and liens, as well as other encumbrances and restrictions. Among these are unpaid taxes, unsatisfied mortgages,  judgments against the seller and restrictions limiting the use of the land.

That depends on the claim. In an extreme case, you could lose your entire home and property – and still be liable to pay off the balance of your mortgage. Most claims aren’t that dramatic, but even the smallest claim can cost you time, money and aggravation, and you may have to pay costs for a legal defense.

If a claim is made against your property, title insurance will, in accordance with the terms of your policy, assure you of a legal defense – and pay all court costs and related fees. Also, if the claim proves valid, you will be reimbursed for your actual loss up to the face amount of the policy.

Not necessarily. A deed is just a document by which the right of ownership in land is transferred, whatever that right may be. It’s not proof of ownership, and it doesn’t do away with rights others may have in the property. In addition, a deed won’t show you liens or claims that may be outstanding against the title.

Because the owner could, in a very short time, do many things to encumber the title. For example, he could grant easements or construct improvements that encroach on adjacent property. He could use the property as collateral for a loan or have received money, judgments, or liens which can attach to the real estate. It is necessary to conduct an up-to-date title search to uncover any such problems.

A title policy insuring the builder does not protect you. Also, a great many things could have happened to the land since the builder’s policy was issued. There may be an increase in value in the property which calls for additional coverage. Liens, judgments and unpaid taxes for which the builders or prior owners were responsible may be disclosed after you purchase the property – causing you aggravation and costing you money.

The seller provides an owner’s title insurance policy, which is evidence to the buyer that there is a marketable  title to the subject property. If there are problems with the title, a title search reveals them and permits resolution of the problem prior to closing.

For as long as you or your heirs retain an interest in the property and, in some cases, even beyond.