When it comes to title insurance, there are plenty of misconceptions out there, according to Bryan Nazor, a title and real estate closing expert at Main Street Title in New Jersey. Title insurance proves that the title showing ownership of a property is legitimate and protects the lender against claims against the title. A title insurance policy is paid in a one-time premium at the close of the escrow, Bryan Nazor said.
Bryan Nazor shared four little-known facts about title insurance that just might surprise you and help you be a little more knowledgeable about this form of insurance.
1. Title insurance is not just in the United States
Title insurance exists in plenty of other countries than just the United States, Bryan Nazor said. Other countries that offer title insurance include Canada, Australia, New Zealand, the United Kingdom and China, to name a few.
2. A clean property title involves searching public records
One of the most important things a title and real estate closing expert like Bryan Nazor does is search public records to obtain a clean property title. These public records include visits to clerks of courts, register of deeds and other offices to look for judgments, special levies and taxes, mortgages and other records. This can be a nitty-gritty part of the process of obtaining title insurance, according to Bryan Nazor, but it is crucial that it is done thoroughly.
3. Title insurance protects property owners from a wide number of issues
Many people do not even realize just how many issues they are protected from when they have title insurance, Bryan Nazor said. Some of those things include forged deeds, owner impersonation, wills not probated, missing heirs, falsified records, birth or adoption after the date of will, fabricated powers of attorney and confusion from the similarity of names. Title insurance policies also can cover fraud, undisclosed heirs, liens against the property, spousal claims and forgery. In addition to all these, Bryan Nazor said additional coverage can be added to a title insurance policy.
4. Title insurance is important for both residential and commercial transactions
Main Street Title serves attorneys, homeowners looking to refinance, home buyers, first time buyers, lenders, investors, mortgage brokers, builders, developers and residential and commercial realtors. It is important to be aware that title insurance is a must-have for many transactions, Bryan Nazor said.
To learn more about real estate title insurance and Main Street Title, visit www.mainsttitle.com.