WHAT IS TITLE INSURANCE AND WHY IS IT IMPORTANT?
Albuquerque Real Estate Experts brings you Tara Ross, Escrow Officer from Fidelity National Title Company explains:
Title Insurance, is an insurance policy that is purchased only one time, when your purchase or sale your home or property. You pay only once for this coverage, unlike other forms of insurance, there are no annual payments to keep your Owners Title Insurance Policy. The only exception, is if you refinance, your lender will require a new Lenders Title Insurance Policy, which you will pay at a reduced cost (substitution rate) the mortgage company needs to makes sure, no new issues with your title. Title Insurance is regulated by the State of New Mexico Insurance department, and the cost of insurance is determined and controlled by them.
We are all familiar with homeowner’s insurance, car insurance, life insurance, but what is title insurance and why do you need it?
Title insurance protects one of your most valuable investments, your real estate purchase. When you purchase property, the seller has many laws that protect them and their heirs, and others who might have a claim to that property in some way. What title insurance does, is uncovers any unpaid taxes, mortgages, judgments, liens against any prior owners. We also search and look for easements and other court actions or recorded documents that can affect title to the real estate you are purchasing.
Title insurance also protects against loss from claims on real estate which cannot be discovered by public records. This is probably the biggest benefit of title insurance. An example of this, is something that has become more and more common, fraud. If someone tried to claim title to your home, using, falsified or forged documents, if there was confusion regarding common names, or an error in the records regarding legal descriptions, etc… these contingencies would be covered in your title insurance policy, from Fidelity National Title.
Fidelity, protects you against any claims that could arise, we would defend your title in court if necessary, at our expense. We would bear the cost of settling a claim if it proves valid in order to perfect your title and keep you in possession of your property.
So, in conclusion, Title Insurance is a onetime policy that brings you a lifetime of protection and peace of mind, knowing that the home, or property you purchased is protected by Fidelity National Title, we are a member of the Fidelity National Financial family of companies and the nation’s largest group of title companies and title insurance underwrites, that collectively issue more title insurance policies than any other title company in the United States.
If you have any additional questions, comments or concerns please do not hesitate to contact Tara Ross, your Escrow Officer at 505.889.5051, firstname.lastname@example.org or David Le, your Roaring Realtor at 505.974.9160, David@roaringrealty.com