Do I need a title insurance?

In order to get an understanding of the need for title insurance we should probably begin with how the public records are searched by title companies. Title searches point of origin is the US patent (the point when the land was originally claimed) . Title searches begin with the most recent deed, and searching the current title holders name (grantee) backwards in time, until the deed when the grantee acquired the property is located. That grantor’s name is then searched backwards in time in the grantee’s book to find when the grantor acquired title as a grantee. This process continues, and over time, the property description involves larger and larger parcels of land. Eventually, the searcher finds the U. S. Patent.

Property transfers were first recorded alphabetically in separate Grantor and Grantee books. (Early deeds involved large chunks of land known as Townships.  Townships contain 36 sections and are six miles by six miles. Sections measure one mile by one mile and contain 640 acres. An acre is 43,560 square feet). County records are often maintained at local courthouses or the Clerk of Registrars. Today, most records are stored on the computer. Because humans are involved in recording deed transfers and plotting land parcels, a lot can go wrong. You want title insurance because it will protect you against defects and human error.There are other issues that can affect title. Deeds establish chain-of-title, but sometimes those chains are broken. In addition, title searchers also look for reconveyances (proof that theencumbrances are paid off), and they look for easements, rights-of-way, CC&Rs (Covenants, conditions and restrictions), and other elements affecting title to the property. They also search for death certificates, tax sales, marriage records and anything else that could cause a “cloud” (a possible exposure for someone to claim an ownership interest in the property) on title.

The primary purpose for you the buyer to have title insurance is to make sure that you have free & clear title to the property you are buying. Free & clear title simply stated means that any and all liens or encumbrances prior to you purchasing your property have been cleared at closing. If anything comes up that was missed you have title insurance in place to protect your investment in what in most cases is your largest asset.

For more information about title insurance there is only one company I would tell you to call : Exclusive Title Company 305-682-0170 ask to speak with Cody or Nick their respective emails and . Their staff is knowledgeable, professional, and friendly, and Cody and Nick both know how to get deals done. Every time I have to use a different title company I am newly reminded why I always recommend them. In order to create the new standard in real estate you have to be the best and work with the best. These guys are the best.