Answers To Your Questions Regarding Owner's Title Insurance

When you are buying or selling a property, there are many documents to review and decisions to make. During the hectic closing process, some buyers and sellers don't fully understand the process and when they ask questions, they don't get answers that make sense. This is especially so when the issue of title insurance comes up.

While the laws of South Carolina require that an attorney oversee every real estate closing in the state, you should choose a lawyer who can give you the answers you need. At the Clemson law firm of Aaron & Aaron, our real estate law attorney has more than 30 years of experience handling real estate transactions throughout the state. We will help you understand the process to make decisions that will protect you and your property.

Review the following information, and contact us for skilled assistance with your next property sale or purchase.

What Does 'Title' Mean?

When you have title to a property, it means you have the legal right to own and possess the property. If there is a problem with the title to a property and it is sold, the buyer takes on the problem. Stated another way, if you buy a property that lacks a clean title, someone else may actually have the legal right to take the property from you.

For example, Bob's friend, Jane, owns a property. Bob sells Jane's property to Tom without Jane's permission and leaves town with the money Tom paid him. When Jane finds out, she can reclaim the property from Tom, leaving Tom without the property and the money.

How Can Owner's Title Insurance Protect Me?

Title insurance insures that the title for the property you are purchasing is marketable, and it protects you from title defects for as long as you own the property. If someone, like Jane, comes to you later saying the property really belongs to her, the insurance company is obligated to fix the situation or cover your losses.

Do I Need Owner's Title Insurance In South Carolina?

While you are not required to buy owners title insurance, it is highly recommended. Keep in mind that an owner's policy is different from a lender's policy, which protects the lender in the event of a title defect. Your lender will require that you purchase lender's title insurance to cover the amount of your loan, but without owner's insurance, your equity is not protected. Although you may have received assurances that there are no defects, hidden errors can occur, costing you much more than the cost of your owner's policy.

Isn't Title Insurance Expensive?

At the time of closing, there is a one-time only payment, which is based on the value of the home you are purchasing and, if you are required to purchase lender's title insurance, you are already paying the bulk of the premium anyway for a policy that doesn't protect you at all. An owner's title policy benefits you as long as you own the property. Compared with the expense you will incur if a title defect is found, the cost to purchase an owner's policy is a drop in the bucket.

How Can Aaron & Aaron Help With My Real Estate Closing?

Whether this is your first real estate purchase or your 10th, hire an experienced attorney at Aaron & Aaron. We will work hard for you to obtain the result you seek. We believe in the success of closing timely and closing correctly. We promise to provide you with the level of service we would expect to receive if we were in your shoes.

To help ensure that you receive the best care possible, we pledge to:

  • Respond to your questions and concerns: Our firm is available 24/7 and strives to return every call and email promptly, providing you with the information and answers you seek.
  • Keep you connected: We maintain a good network of local service providers so you receive the support you need. We also provide options for remote closings when you are out of state.
  • Listen to you: We take a holistic approach to your transaction, identifying those aspects of your life that may affect your decisions, including wills, estate planning and the needs of your family, whether you are in a traditional, nontraditional or blended family. We are here to help at the closing and beyond.

Call Today For A Free Consultation

Contact us online or call us toll free at 864-551-4370 or in Clemson at 864-501-9579 to schedule a free consultation.