WHY HAVE TITLE INSURANCE
Title insurance is necessary in the transfer of real estate to protect both the buyer and the lender from any defects in the title of the property. A defect in the title could arise from various reasons such as:
Errors or omissions in public records
Unknown liens or encumbrances on the property
Forged or fraudulent documents
Undisclosed heirs or missing heirs
Incorrect legal descriptions or boundary disputes
Title insurance provides coverage for any losses that may arise due to these defects, including legal fees and costs associated with defending against any claims made against the title.
By purchasing title insurance, both the buyer and the lender can have peace of mind knowing that they are protected against any potential risks or claims that may arise in the future.