If you’re in the process of buying a home or refinancing your mortgage, you’ve probably encountered title insurance. This insurance policy pays to defend you in court if anyone challenges the title to your home, and compensates your loss of equity if you lose. Before you choose who to buy Orlando title insurance from, it’s important to fully understand how it works.

Title Insurance Protects the Owner

It may seem unthinkable, but someone can legally challenge the ownership of your home even after you’ve gone through the purchasing process. If there are errors in how the title is researched or filed, you could even lose your home.

Title challenges can occur because of:

  • Clerical errors
  • Missed records
  • Undisclosed heirs
  • Omissions
  • Unknown liens
  • Fraud involving the deed

Title insurance protects you from these claims. The company only issues the policy after thorough title research. If someone makes a claim against the title, the insurance policy pays to defend you in court. If you lose, you can get financial compensation for the home equity you lost.

You Can Add Additional Coverage

If you have concerns about other aspects of your home, you can add additional protections to the title insurance policy. An addition, known as an endorsement, gives you legal and financial protection for other situations, such as a violation of subdivision restrictions due to construction.

Of course, additional coverage comes with more cost. If the seller is paying for the insurance, rather than you, you may not be able to make changes. However, if you offer to pay the difference, the seller may be open to negotiation.

You Have a Choice in Title Insurance

If you are buying the title insurance for the transaction, realize that you have options. Real Estate Closing Solutions can help you find the title policy you need. We believe in helping you with a simple, easy to understand pricing structure. We provide reliable resources and have decades of combined experience helping buyers.
Orlando title insurance serves an important purpose in the home buying process. When you understand the protection you receive, you’ll be well equipped to make the best choice for you. For more information, contact us today!