Why Chula Vista Homeowners Need Title Insurance
I recently had a great client of mine ask me why it was necessary to pay for a title insurance policy as part of selling his home. His home was built in the early 1970’s and has a long history since it was first built. I explained to him that a title company’s search of public records may not catch every possible title issue making a title policy important. It protects all principles from claims that may arise after closing escrow. There are many title policies designed to protect buyers and sellers and there are different prices depending on how expensive a policy you purchase. Below are ten common issues that a title policy offers protection.
1. Errors in Public Records- Clerical or filling errors that can affect the deed.
2. Unknown Liens- protects you from liens placed on the home from previous owner.
3. Illegal Deeds- protects the chain of title from a person who is unqualified to sign.
4. Missing Heirs- protects you from claims on your new home from the former sellers heirs fighting ownership
5. Forgeries- protection from forged documents in the public record affecting ownership.
6. Undiscovered Encumbrances- Three’s a crowd. A party holder may claim all or part of your property because of a former mortgage, lien, restriction or covenant.
7. Unknown Easements- Can prevent you from using your new home and property because another party has partial or full access to your property.
8. Boundary/ Survey Disputes- Different surveys can show differing boundaries and a neighbor can lay claim to a portion of your property.
9. Undiscovered Will- Protection from a prior owner’s intestate will coming to light after you have purchased the property jeopardizing your property rights.
10. False Impersonation of Previous Owners- Common or similar names make it possible to “impersonate” a property owner. You could lose legal claim to the property.