Title insurance is a form of indemnity insurance that protects the holder from financial loss sustained from defects in a title to a property. Lenders usually require a title insurance policy to protect their investment, and property owners can also purchase a policy to protect their equity in the property.
When you purchase property, you’re actually buying the title to the property. Title insurance protects you against claims against your ownership, such as liens, encumbrances, or claims of ownership by third parties.
The cost of title insurance in Utah varies based on the value of the property. Typically, it’s a one-time fee paid at the closing of the property purchase.
Lender’s title insurance is usually required if you are taking out a mortgage to purchase a property. However, owner’s title insurance is optional, though highly recommended to protect your investment.
Title insurance typically covers:
*Unknown liens
*Errors or omissions in deeds
*Mistakes in examining records
*Forgery
*Undisclosed heirs
Owner’s title insurance lasts as long as you or your heirs have an interest in the property. Lender’s title insurance lasts until the mortgage is paid in full.
Lender’s title insurance only protects the lender’s financial interests in the property. Owner’s title insurance protects the property owner’s financial interests.
Look for a title insurance agency that has a strong reputation, extensive experience, and knowledgeable staff. You may also want to ask for recommendations from your real estate agent or mortgage lender. Fortunately, there is a lot of regulation surrounding title companies and their underwriters. This means that the odds are very high that you are safe with any licensed title company. Copper Title is attorney-owned, making it a great choice.
Yes, you have the right to choose your own title insurance company. However, your lender may have specific requirements that the title insurance company must meet.
A title search is an examination of public records to determine and confirm a property’s legal ownership and find out what claims, if any, are on the property.
When you refinance, your lender will typically require a new lender’s title insurance policy. However, as the owner, your original owner’s title insurance policy remains in effect as long as you own the property.
No, title insurance policies are not transferable. If you sell your property, the new owner will need to purchase a new policy.
Contact your title insurance company as soon as possible if you believe there’s a defect in your title that’s covered by your policy. The company will investigate and, if the claim is valid, either resolve the issue or compensate you for your financial loss up to the policy limit.
You can reach our agency through:
Phone: (385) 758 – 3373
Email: [email protected]
Office: 1309 W. South Jordan Pkwy, Ste 210, South Jordan, Utah 84095