WHY DO I NEED OWNER’S TITLE INSURANCE COVERAGE?

Many buyers express concern as to why they should buy title insurance when the lender already requires coverage. The lender and any successors must always be protected with title insurance, but that coverage will only protect the lender and only for the time there is a mortgage on the property. The Owner must assume their own risks or purchase Owner’s Title Insurance, which will offer the same protections afforded the lender. This coverage will last as long as you own the home.

There are many other reasons to purchase Owner’s Title coverage. The most thorough and competent title examination cannot protect you against loss from hidden title issues. An additional issue relates to the “Gap Period”. Florida counties have continued to grow exponentially and the County Clerk’s offices have not been able to keep up with the pace of all the documents to be filed. There may be a gap of several months between the time a deed, lien, or other instrument is recorded and the time that it actually appears in the public records. As you can guess, a title examiner cannot note something against the property if it is not in the public records!

Pinecrest Premier Title, LLC offers what is commonly called “Owners’ Title Insurance Coverage” which protects you in many different situations that can occur during the ownership of your property, including many issues that can arise in the gap period. Other typical items that may be covered by your Owner’s Coverage include, but are not limited to, the following:

FORGED DEEDS, RELEASES OF MORTGAGE AND/OR OTHER INSTRUMENTS
IMPERSONATION OF THE TRUE OWNER OF THE LAND
SPECIFIC MECHANIC’S LIEN COVERAGE
ENCROACHMENT OF ADJACENT BUILDINGS
FORCED REMOVAL OF THE HOME DUE TO:

ENCROACHMENT INTO AN EASEMENT
VIOLATION OF A RESTRICTION
VIOLATION OF A ZONING LAW OR BUILDING SETBACK LINE
CONSTRUCTION WITHOUT A PERMIT

FORCED REMOVAL OF OTHER BUILDINGS DUE TO THEIR ENCROACHMENT ONTO ADJACENT PROPERTY
DAMAGE TO EXISTING STRUCTURES WHEN AN EASEMENT RIGHT IS EXERCISED
HOME WAS BUILT ON WRONG PROPERTY
CLAIM AGAINST THE TITLE BECAUSE OF A PRIOR RESTRICTION VIOLATION
DEEDS BY MINORS
DEEDS BY PEOPLE APPARENTLY SINGLE BUT ACTUALLY MARRIED
MISTAKES IN RECORDING OF DOCUMENTS (SUCH AS INCORRECT INDEXING, ERRORS OR OMISSIONS IN TRANSCRIBING)
DISCOVERY OF A WILL OR MISSING HEIRS
FEDERAL OR STATE INCOME TAX LIENS (INCLUDING GIFT TAX LIENS)
ERRORS IN TAX RECORDS
DEFECTIVE DOCUMENTS (NOT SIGNED PROPERLY, NO NOTARY/WITNESS)
INCORRECT LEGAL DESCRIPTIONS
SPECIAL ASSESSMENTS RECORDED AFTER PROPERTY TRANSFER
IMPROPERLY ADMINISTERED ESTATES
DURESS IN EXECUTION OF THE DOCUMENTS
INCORRECTLY SUBORDINATED OR CANCELLED SECURITY INTERESTS
FRAUDULENT TRANSFERS

Simply stated, if you decide against purchasing Title Insurance, you could be purchasing a property subject to outstanding liens or judgments. You would not be able to sell your property or refinance in the future without first satisfying any such liens or judgments. Even worse, you could lose your property if it is later discovered that there is still a valid interest owned by another party! Owner’s Title Insurance covers any outstanding liens and judgments or pays your loss in the event someone else can establish an interest in your new property.

In sum, the best way to protect yourself in the State of Florida against claims on your property is to purchase Title Insurance. This one-time fee can save you many headaches and heartaches in the future and is your best protection to assure that you and your most important investment are safe from claims.

Locations/Contact

www.floridacountymap.net

Miami:

9100 S. Dadeland Blvd.
Suite. 1000
Miami, FL 33156
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p: 305.423.1258
f: 305.670.3884

e: greg@pinecresttitle.com

Atlanta:

4840 Roswell Road
Building E, Suite 400
Atlanta, GA 30342
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p: 404.257.8885
f: 404.257.9771

e: sam@pinecresttitle.com