Title Insurance: What Is It and Why You Need It
What is tittle insurance and why do you need it? It protects real estate owners and lenders against losses that could arise from defects in the title to a property. Watch as Bill Mason gives you all the pros of getting title insurance. Bill will explain the two main types of title insurance as well as give you the benefits of it.
Types of Title Insurance
1. Owner’s Policy: Protects the property owner from title defects. It is typically purchased for an amount equal to the property’s purchase price and lasts as long as the owner or their heirs retain an interest in the property.
2. Lender’s Policy: Also known as a loan policy, it protects the lender’s interest in the property. It is usually required by lenders when a mortgage is issued and covers the loan amount. This policy lasts until the loan is paid off.
Benefits
Peace of Mind: Property owners and lenders are assured that their investment is protected against unforeseen title defects.
Legal Defense: The insurance company typically covers legal costs associated with defending the title against claims.
Financial Protection: If a claim is successful, the insurance company compensates for losses up to the policy’s limit.
Conclusion
Title insurance is a crucial component of real estate transactions, providing vital protection against potential financial losses due to title defects. By ensuring clear ownership and defending against claims, it helps to maintain the stability and integrity of real estate investments.
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516-739-3090
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Mason and Mason, PLLC
394 Old Country Road,
Garden City NY 11530
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Chapters:
0:00 What is Title Insurance
0:43 The Two Main Types of Title Insurance
1:58 The Importance of Getting Title Insurance
3:52 How to Obtain Title Insurance
5:26 What is TOPE Title Insurance and Why Should You Get It?
5:52 Tips to Do From the Beginning
7:29 More Reasons to Get Title Insurance
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