Title Insurance Facts For Southern California Properties

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Home buyers often inquire about title insurance, what it is, and if they need it. Lender’s coverage is required with most mortgages, however, an owner’s policy is typically an option. Buyers should think about the benefits and make their own decision given the expense and advantages. In this article you will find title insurance facts for Southern California properties.

Why Title Insurance is Necessary Even With a Title Search

Before closing, a title search is routinely performed by a title company. This verifies that no other party has a claim to the home (based on available records) and that the title is available to be transferred to another entity. The title search is not all inclusive and does not always detect hidden issues in the title. Title insurance will cover most un-caught title issues and the costs that come with defending your ownership rights in a property.

Title Insurance Coverage

Title insurance is a one-time fee at settlement that will stay active for the entire time that you retain ownership of the home. You can buy it at a later time, but it is ordinarily more cost effective when selected at closing. The charge is based on the principal loan amount.

Title Insurance Facts For Southern California Properties and Items Covered

Title insurance typical coverages include…

  • Fraud related to the completion of paperwork.
  • Pressure on a grantor or executor (of a will).
  • False impersonation by those purporting to be owners of a home.
  • False marital status of a grantor.
  • Mental incompetence of grantors.
  • Participation by a under-aged party.
  • Non-delivery of deeds.
  • Unsatisfied issues not reflected in the records.
  • Mis-indexing at Registry of Deeds.
  • Clerical glitches in recording legal documents.
  • Delivery of deeds proceeding the death of a grantor.
  • Deeds completed under false powers of attorney.

Some policies may include…

  • missing heirs.
  • Issues with wills.
  • Mistaken interpretation of trusts.
  • Birth of heirs subsequent to the date of a will.
  • Incorrect property surveys.
  • Inaccurate property descriptions.
  • Confusion due to identical names.

The information above is strictly an introduction. Speak with a local title company for specific title insurance facts for Southern California properties and costs, as they generally differ depending on the company. This blog should not be considered as legal advice and may change without notice.