Owning a home can be one of the biggest financial obligations for most people. When buying a real estate, how do we know what we are actually buying and if we are buying it from the person who has full ownership of the property? The home buying process can be complex to many home buyers due to many factors most especially during the real estate closing process. Lots of home buyers face the closing process with minimal understanding of what is going to happen next or what the scope of their rights and obligations are. With the absence of help from an expert such as a title insurance lawyer, it sure can be overwhelming.
When it comes to ensuring the interests of buyers and lenders, title companies do a great job. Most institutional lenders will always require a title policy to scale back their risks. However, the title policy of the lender may not always cover the owner and the owner’s policies on the other hand, ensure that title to the property is marketable leaving you at a disadvantage. At Magnolia Law, our title insurance lawyers certainly know how to help you. Our title insurance lawyers will listen and act accordingly to your unique individual situation.
What is Title Insurance?
The very foundation in every real estate ownership is the title. The title refers to the landowner’s legal right to own, utilize, control, possess or get rid of the house. Title insurance protects both homebuyers and lenders from the likelihood that a seller might not have clear ownership of the house and property they’re selling, therefore making the seller unable to transfer full ownership to the purchaser. What the title insurance does is to protect both you or your lender from rights or claims that other parties may priorly have to the property as well as from any other outstanding debts from the previous property owners. In other words, the title insurance will safeguard you in the event someone challenges your title.
What Does Title Insurance Cover?
A title insurance may include fraudulent or forged prior deed, unpaid taxes, an angry contractor filed a construction lien against the property, someone’s name is wrong, a past notary forgot to sign, a mortgage was never paid off, the prior owners took out a Home Equity Line (HELOC) which was unpaid, an unpaid lien, unpaid assessments, or any other uncountable flaws you can name that would hurt your real estate ownership – unless you’re protected by title insurance. For a “single time only” payment, not only are you covered, legally and financially, from any arising flaws in your superior ownership of the property from the time before the property was yours, but you’re also covered for as long as you own the property, be that one year or a hundred years.
Who Pays for Title Insurance?
With the exception of Sarasota, Collier, Miami-Dade and Broward counties, in every other Florida county, the real estate seller chooses the title company and pays for the title costs. Therefore, the purchaser chooses the title company and pays for the title costs in Broward, Miami-Dade and Collier Counties.
Do I have to Buy Title Insurance?
A mortgage lender requires the purchase of a lender’s title insurance policy when you take out a loan to purchase your new home. A lender’s title insurance policy provides a safeguard to the lender for the full amount of the loan, protecting the lender’s investment in the property.
An owner’s title insurance policy is an optional purchase. However, this owner’s policy is an important one as it protects the buyer for the full amount of the property’s value.
CLOSING & TITLE SERVICES THROUGHOUT FLORIDA
Magnolia Law focuses on handling all aspects of residential and commercial real estate closings. Whether you’re purchasing a home, refinancing your loan or buying investment property, contact Magnolia Law and let our real estate attorneys handle your closing.
We serve brokers, realtors, lenders, mortgage brokers, developers, builders, attorneys, investors, buyers and sellers. We provide the foremost efficient and responsive land closing services throughout the State of Florida.
Below are a number of the kinds of residential transactions Magnolia Law handles or have handled within the past:
- First time home buyer closings
- For sale by owner closing
- FHA Closing
- VA Closing
- Residential real estate investment purchases and flips
- Double Closings for residential property
- Refinance of residential property
- Residential short sales
- Title Services
- Owner’s Policies
- Lender’s Policies
- Title Searches
- Survey Services
- Estoppel Request and Review
- Tax & Lien Searches
- Loan Document Preparation
- Title and Document Review
- Closing and Escrow Services
- Recording Services
Each closing is handled start to end by a Florida land Attorney to make sure no title defects are present for a clear title. Believe us once we say — there’s a difference between a title agent and an attorney handling your land transaction. For us it is always about being proactive vs. reactive.
In addition to our headquarters in Fort Lauderdale , we provide mobile and mail away closings throughout the state of Florida. We offer competitive rates and are able to handle your transaction! Contact Magnolia Law, today.