May. 30, 2006 - Why Buy Title Insurance?

Why Buy Title Insurance? When buying a home, unlike when buying a car or other consumer goods, it is necessary to have the information on the former owner, such as marital status, whether there are any outstanding taxes, or if they are involved in a lawsuit, and more. While the former owner may own the property, others may also have rights to the same property. A title search can uncover items such as unpaid taxes, easements, law and court decisions pertaining to the property, recorded liens or encumbrances and any other matter of record which could affect the title to the property. Often all things affecting the property are not contained in a single book, office or even the same city. Add to this the possibility of human errors at many points. What is not in the public records often causes title problems. For these reasons, a property owner needs the protection title insurance can provide.