By: Jeremiah Jackson
Owner’s title insurance is considered optional insurance, but we always recommend it here at Jackson Law. There are many reasons why we recommend it, and below are but a few of the myriad examples in which unsuspecting buyers could face exposure. North Carolina has one of the cheapest title insurance rates in the country as determined by the NC Commissioner of Insurance. This one-time premium could save you countless time and thousands of dollars. Do yourself a favor and insist on title insurance!
- Title insurance reimburses you for the amount of your covered losses.
- Title insurance covers attorneys’ fees and court costs.
- Your title insurance policy is paid up, in full, by the premium collected at closing for as long as you or your heirs own the property.
- A deed or mortgage in the chain of title may be a forgery.
- A deed or a mortgage may have been signed by a child.
- A deed or a mortgage may have been made by an incompetent person.
- A deed or a mortgage may have been made under a power of attorney after its termination and would, therefore, be void.
- A deed or a mortgage may have been made by a person other than the owner, but with the same name as the owner.
- The testator of a will might have had a child born after the execution of the will, a fact that would entitle the child to claim his or her share of the property.
- A deed or mortgage may have been procured by fraud or duress.
- Title transferred by an heir may be subject to a federal estate tax lien.
- An heir or other person presumed dead may appear and recover the property or an interest therein.
- A judgment or levy upon which the title is dependent may be void or voidable on account of some defect in the proceeding.
- Title insurance helps speed negotiations when you’re ready to sell or obtain a loan.
- By insuring the title, you can eliminate delays and technicalities when passing your title on to someone else.
- A deed or mortgage may be voidable because it was signed while the grantor was in bankruptcy.
- Each title insurance policy we write is paid up, in full, by the first premium for as long as you or your heirs own the property.
- There may be a defect in the recording of a document upon which your title is dependent.
- Claims constantly arise due to marital status and validity of divorces. Only title insurance protects against claims made by non-existent or divorced “wives” or “husbands.”
- Over the last 2 decades, claims have risen dramatically.
With this knowledge, now you can Rest Easy.
