Why Should I Purchase Title Insurance

Purchasing title insurance in Florida is one of the more expensive components of your Florida real estate transaction, but arguably also one of the most important.  If you are getting a mortgage loan to purchase your property, the lender is going to require you provide them with a lender’s title policy, which protects the lender, and for just an additional $25.00 more, you can obtain an owner’s title policy which will protect you.  Title insurance protects you from many difference types of claims; just a few of which include, closing errors (like HOA assessments, taxes, municipal liens and payoff errors), record searching errors, boundary and survey issues, easement issues, recording mistakes, including courthouse clerk errors, fraud and forgery problems, property access issues and mechanics liens.  Title insurance policies protect the insured from these and other problems.  Searching errors that involve a title abstractor missing a recorded mortgage and the seller not disclosing the error, could leave you with your recorded deed in priority behind the seller’s old mortgage lender, with the seller long gone.  Lines of credit mortgagees encumber real property just like a first mortgage.  There have even been instances where the seller would leave a closing and go to the bank and access the credit line while on the way out of town, leaving the closing agent without the additional funds to pay off the credit line.  When you are weighing the decision to purchase title insurance for your dream home or property, think mostly about peace of mind….