Title Services
The cost for title insurance is paid once, at the closing of the loan and may be the responsibility of the buyer, the seller, or both, depending on what is traditional in your locality.
Information about title insurance should be listed in the contract and can include a clause identifying how to handle potential problems that arise during the title search.
Title Insurance Coverage
Depending on the title company, consumers can choose among a variety of options, but the top three choices are Owners, Lender's and Extended Coverage.
Basic Owner's Title Policy Coverage:
1. Clear title to the property
2. Incorrect signatures on documents
3. Forgery, fraud
4. Defective recordation
5. Restrictive covenants
6. Encumbrances or judgments
Basic Lender's Title Policy Coverage:
1. Mechanic's liens and unrecorded liens
2. Unrecorded easements and access rights
3. Defects and other unrecorded documents
Extended Owner's Coverage
1. Building permit violations from previous owners
2. Subdivision maps
3. Covenant violations from previous owners
4. Living trusts
5. Structure damage from mineral extractions
6. Variety of encroachments and forgeries after title insurance is issued
Know your rights when shopping for mortgage and settlement services, including title insurance - Provided by the U.S. Department of Health and Urban Development
For Frequently Asked Questions regarding your protections under the Real Estate Settlement and Procedures Act


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