It is important that home buyers would want to safeguard their rights and investment. Title insurance assures your rights and interests to the property, that the transfer of ownership is smoothly completed and that you receive protection from future claims against the property. It is the most effective, most accepted and least expensive way to protect your ownership rights.
Over time, many people may develop rights and claims to a particular property. There may be other parties (such as government agencies, public utilities, lenders or private contractors) who also have “rights” or have placed judgments on the property. These interests limit the “title” of any buyer. Before escrow closes, the title company will do an extensive search on the property which will allow any “pending title problems” on the property to be identified and “cleared” prior to the close of escrow.
Without title insurance a buyer would be purchasing a property and all liens, judgments, etc. attached to that property. A title search also identifies the “true owner” of the property assuring that you, the buyer, are actually purchasing from the individual who owns the property and not someone who does not actually have the right to sell it!
An owner’s title insurance policy, which covers the full amount you paid for the property, will protect against any previously undetected flaws in title such as defective deeds, previously unrecognized rights of spouses, undisclosed heirs, etc. or any claims that could arise. A lender’s policy covers the lender for the life of the loan. Unlike other forms of insurance, your title insurance policy requires only one moderate premium for a policy to protect you and your heirs for as long as you own the property.
Each policy is a contract of “indemnity”. It agrees to assume the responsibility for legal defense of your title for any defect covered under the policy’s terms and to reimburse you for actual financial losses up to the policy limits.
Thinking about buying
San Ramon homes?, contact your local realtor Mona Koussa
Area Sales Representative
Orange Coast Title Company
4713 1st Street, Suite 100
Pleasanton, Ca. 94566
(925) 201-8480 office
(714) 415-7931 efax
(901) 237-3215 cell