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Is Title Insurance Mandatory?

What is title insurance?
Is title insurance mandatory?
Why do I need it?
These questions and more are covered right here on this page:

For homebuyers, a relatively inexpensive safeguard called a title search will uncover any publically recorded issues that currently exist on the title of the property. However, some title issues are not visible on a title search and must be protected against. This is where title insurance becomes relevant. Title insurance protects the homebuyer from any current or past issues that may arise in the future regarding the property. While title insurance is always highly recommended, it is not mandatory in a cash transaction. It is, however, required by all lenders in a financed transaction. The list of potential hazards that title insurance protects is extensive, providing coverage against a wide range of issues such as:

  • Forgery
  • Fraud
  • Deed recording errors
  • Mechanics liens
  • Unreported liens
  • Improper foreclosure procedings
  • Inaccurate surveys
  • Probate/estate issues
  • Conveyances by unqulified persons
  • An ex-spouse who returns to claim interest
  • And many other issues.

Generally speaking, insurance is best when you have it but do not use it. This is very true for title insurance. Although rarely used, it is an absolute asset when needed because in most cases it insures the largest financial investment most people ever make. Think about it this way, if all lenders require title insurance when finacing your loan, then it’s probably a wise choice for your financial interest too.

At our office, we often say that the peace of mind and security provided by title insurance is perhaps the best pillow to sleep on at night in your new home.

If you are purchasing property in the state of Florida, and want to learn more about title insurance or any other aspects of the closing process, contact us today. The Law Office of Donna-Hearne-Gousse, P.A. is a full service, attorney based title insurance company located in Royal Palm Beach, Florida.

The Law Office of Donna Hearne-Gousse

(561) 582-5670

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