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"What is owner's title insurance and do I really need it?"

When you purchase a home there are many things to consider such as the mortgage payment, interest, homeowners insurance, closing costs and an owner's title insurance policy. The paperwork can be daunting so when home buyer's see the word "optional" next to the owner's title policy, they wonder if that is something they really need.  Is title insurance really necessary? Is it worth the expense?

The answer is YES!

You need owner's title insurance to protect your rights. If you're taking out a mortgage, your lender will require that you purchase a lender policy to protect their rights. When you purchase an owner's policy, you have protection for your property rights for as long as you own your home. It may be tempting to save on your closing costs but many in the real estate industry advise against it. This one-time, relatively low premium insures that you are protected against legal problems regarding property rights.

Concierge Settlement Services has seen buyers who have opted out of title insurance only to run into legal problems that are very expensive to remedy. The money you will save is far less than the legal fees and the potential loss of your home.

Here are the top 15 reasons you need title insurance:

  • Incorrect filing of deeds
  • Forgery
  • Fraud in the execution of documents
  • Delivery of deeds after the death of a grantor
  • Undue influence on a grantor of a deed
  • Error in surveys
  • Transfer of title by a minor
  • Wills not properly probated
  • Confusion due to similar or identical names
  • Deeds executed under expired or false powers of attorney
  • False impersonation by someone purporting to be the owner of the property
  • Clerical errors in recording legal documents
  • Misinterpretation of wills and trusts
  • Undisclosed or missing heirs

Concierge Settlement Services is in the business of protecting you on the biggest financial decision you will probably ever make. Dollar for dollar, purchasing a title insurance policy is the most cost efficient form of insurance to protect your home.

The best news is you only pay once to protect your rights as long as you own the home.