Should You Buy Title Insurance For A New Home Build?

YOU
SHOULD
TITLE
BUY
INSURANCE
A NEW
FOR
HOME BUILD?
FLORIDA TITLE
INSURANCE

Title insurance can come in the form
of residential title insurance or
commercial title insurance, and it
would apply to the house and lot
which a homeowner buys, or the
business property that a company
might purchase. Apart from that
distinction, there are also two types of
title insurance, offering protection for
each of the two parties in any kind of
real estate transaction, the lender and
the buyer.
Both the mortgage holder and the
prospective new homeowner would
need protection against any claims
which might arise from unexpected
sources, as well as certain obstacles
which may arise during the closing
process. In any case, the whole point
of purchasing insurance from a title
company is to ensure that the party
buying the insurance does not suffer
serious financial laws if some claim
against the property were to be
upheld.chapter 1

TITLE INSURANCE
WHAT
AGAINST
PROTECTS
Most people have heard horror stories about someone
who purchased property in good faith, only to find that
after the purchase, a previously unknown owner surfaced
with a valid claim on the property. In such a case, the
courts must decide the validity of the claim, and award
ownership to whomever it determines to be the rightful
owner. While this may be the most common scenario
which title insurance protects against, it’s not the only
kind of protection provided by a good title insurance
policy. Here are some other scenarios that it defends
against:
improper filing or recording of title, somewhere in the
history of the property
fraudulent or inaccurate title
abandonment of the transaction during closing (lenders
title insurance)
problems with financing during closing
WWW.EUSS.EDU

there’s no way that any other party could previously have owned it. While that
because
be true, it doesn’t really apply, because in actuality title insurance covers the
may
effect, this means that after you’ve built a brand-new home on land that you just
In
someone could still come forward and make a claim against the property
purchased,
everything on it, because they still hold valid title to the property. This principle is of
and
well known throughout the real estate world, and any reputable company doing
course
it still happens often enough that a title search isn’t sufficiently thorough, or that a
But
claim is missed for some other reason, and it comes back to haunt the new
legitimate
For this reason, it’s best to just purchase title insurance in every single case,
owner.
the small cost of the one-time title insurance premium is far less than the
because
be half sure when purchasing real estate – purchase title insurance from Jones &
Don’t
Title Insurance, and have complete confidence that your newly acquired
Raulston
HOME TITLE INSURANCE?
NEW
might think that purchasing title insurance is not necessary on a new home,
One
property itself, not the home built upon it.
a title search should uncover any such possibility.
amount you might lose if you had to surrender ownership of the property.
property cannot be claimed by anyone else.

SOURCES:
http://jonesraulston.com/buy-title-insurance-new-home-build/
https://artesiantitle.com/