You may be confused about purchasing title insurance, and if so, you’re certainly not alone! Simply put, title insurance provides protection on your purchase of a home. It defends you, the buyer, and your lenders against any third-party ownership claims that may arise from events that occurred before the home purchase – such as unpaid property taxes, judgments or liens – that weren’t detected during the title search.
Most mortgage companies will require the homebuyer to purchase a lender’s title insurance policy, which ensures that the company has a valid, enforceable lien on the property. Homebuyers also have the option of buying a separate owner’s title insurance policy to protect their own investment in the home. In Texas, the decision to purchase owner’s title insurance is up to the buyer, and buyers are strongly encouraged to do so.
What Are the Benefits of Investing in Owner’s Title Insurance?
When you purchase an owner’s title policy:
- You’ll be protected against financial loss due to title issues up to the face amount of your policy.
- Your owner’s title insurance will pay the full cost of any legal defense of your policy against prior ownership claims.
- Your policy will remain in effect for as long as you or your heirs own the property.
Turning to N Title
N Title is a title agency serving homebuyers and sellers in Houston, San Antonio, Dallas and Austin. Our friendly and knowledgeable associates are dedicated to making the home-buying experience transparent and as pleasant as possible. In fact, we would love to celebrate with you as you close on your new home!
As a title company, we welcome your questions about owner’s title insurance and other matters related to your upcoming home purchase. Please contact us today and ask away!