How do you define who owns the right over a property? How do you claim for an insurance on a property you own when you have nothing to show to prove your claim? A title defines who currently has the legal right over a property.Title insurance protects the title from any past, current, or future defects in the title of a property. For example, if the property is in your name, you are the title holder. If it is a mortgaged property, the lender will hold right over the property.
What is Title Insurance
Title insurance covers for any loss incurred due to a defect in the original title deeds. This insurance protects the owner from any kind of claim made on the property, thereby securing the rights of the property owner. Most mortgage lenders require title insurance before providing loans for potential buyers.
Why Should You Get Title Insurance
If you just purchased a property and there are past liens that you did not know about prior to your purchase, title insurance is what can legally protect you from any of these mishaps. Title insurance ensures that you will not suffer from any loss if you have the right over a property. It takes care of any kind of loss incurred, giving you peace of mind. The coverage under this insurance usually lasts for the duration that you are the owner of the property in question.
Having title insurance helps to protect your investment. It saves you from potential loopholes in a real estate transaction. You can also hire a lawyer to assist you with the legal aspects of your real estate deal.