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Is Owner’s title insurance worth it? Why should I get it?

Hollywood Florida Title Insurance

Help from a Hollywood Florida Title Insurance Company

Is Owner’s Title Insurance Worth the Cost?

If you are in the process of purchasing a home or other property in the state of Florida, you may be wondering about some of the charges associated with closing on your real estate transaction. Your lender will typically require that you obtain a lender’s title insurance policy to protect their financial investment. Real estate experts also recommend that you invest in an owner’s policy from your Hollywood Florida title insurance company to protect yourself against financial losses or liabilities that could arise if your claim to your property is challenged or threatened.

Why Do You Need Two Title Insurance Policies?

Your lender’s title insurance policy offers financial protection for them if liens or other encumbrances are discovered that could affect their ability to recoup their investment. It does not, however, provide you with that same protection. Your lender’s policy protects only their financial interests and may not provide any protection for equity you may have earned in your home or for your ownership of your property. By investing in a Hollywood Florida title insurance policy, you can protect your own investment in your home or other real estate property from a variety of situations that could affect you financially.

Situations in Which Title Insurance Can Protect Your Investment

Challenges to your title can come from unexpected sources. Liens against the property by contractors or government tax agencies can create significant financial liabilities for you as a property owner. Inheritance questions can also create issues with ownership of properties, especially when a missing heir turns up and demands their share of the property. While the lender’s title insurance policy will prevent them from losing money in these instances, you will need a Hollywood FL title insurance policy to ensure that you do not experience the loss of a part of your investment or of your property after your purchase.

How Does Title Insurance Differ From Homeowner’s Insurance?

Your homeowner’s insurance policy is designed to pay for damage to your home caused by fires, storms and other major events. It can also provide you with liability coverage for accidents that occur to others on your property. Homeowner’s insurance can pay for damage to your roof caused by hail, structural damage from a fire and many other issues that can affect the value and livability of your properties in the state of Florida.

By contrast, the owner’s policies offered by your Hollywood FL title insurance company protect your ownership interest in your home or property. These policies are designed specifically to provide legal and financial protection against issues with the chain of title for your home. If a problem arises that affects the title or ownership of your property, your title insurance policy will handle the issue by providing legal counsel and support or by simply writing a check to cover the financial cost of the problem. This can provide you with valuable peace of mind during the purchase process and after you have taken possession of your new home or other property.

Why You Need an Owner’s Title Insurance Policy

Working with a Hollywood Florida title insurance company can help you to manage unexpected issues that can arise with your ownership stake in your property. Your title insurance company will perform a title search before issuing the policy that will identify any problems with the chain of ownership, including the following issues:

  • Undisclosed foreclosures
  • Fraud or illegal deeds
  • Mistakes made in the recording of deeds in the public records
  • Liens against the property for unpaid contracting services or unpaid taxes

Even if these potential problems are not revealed during the title search, your owner’s title insurance policy will protect you against losing equity in your property or losing ownership altogether if these issues come to light after you complete your real estate transaction.

Contact Our Hollywood Florida Title Insurance Company

As a leading Hollywood Florida title insurance company, Rock Solid Title can provide you with the coverage you need to protect your financial investment in your real estate acquisitions. Call us today at 305-868-7800 or contact us online to learn more about how we can help you protect your investment in real estate in the state of Florida.