Marketable Title: title that is subject to no reasonable doubt as to its validity or freedom from encumbrance and that can be reasonably sold, purchased, or mortgaged.
What is title insurance?
Title insurance is a contract of indemnity that guarantees a property’s title is as reported and recorded. If the title is found to be faulty, the title policy protects the insured for their loss up to the amount of the policy. It provides assurance that buyers are acquiring a marketable property from its true owner and eliminates risks from past defects.
Your title policy will pay for defending against lawsuits attacking your title, clear problems and pay losses.
How does Premier American offer this level of security?
To achieve this protection, Premier American Title Agency performs an extensive search of public records to determine whether any person, other than the seller, has any rights, liens, claims or encumbrances on the property. Once all the rights and claims are clearly determined, a title policy may be issued.
This process also helps ensure that all parties have a clear understanding of their interests before the transaction is consummated. In this way, potential title claims can be resolved before financial losses are incurred.
What are some of the risks that title insurance protects me against?
- Mistakes in recording legal documents
- Fraud
- False impersonation of true owners of property
- Forged deeds, release of wills
- Undisclosed/missing heirs
- Deeds by minors
- Deeds by persons of unsound mind
- Deeds by persons supposedly single, but in fact married
- Liens for unpaid inheritance, income, or gift taxes
What types of title policies are available?
There are two kinds of title insurance: lender’s and owner’s.
- Lender’s—This type of title insurance protects the interests of the lender. It is usually purchased to protect stockholders and investors that have vested interests in a lending company.
- Owner’s—This type of title insurance protects the interests of the buyer. It is usually purchased to protect the buyer for as long as they or their heirs have any interest in the property.
