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	The FAQs of Title Insurance Learn more with answers to these frequently asked questions What is a title? Do I need title Insurance? What can make a title defective? But the lender already requires title insurance, won't that protect me? How much does title insurance cost? Should I shop around for the best title insurance deal? What items are needed at closing? What is a title? A title is the evidence of right that a person has to the ownership and possession of land. It is possible that someone other than the owner has a legal right to the property. If that right can be established, this person can claim the property outright or make demands on the owner as to its use. Do I need title insurance? Title insurance is a means of protecting yourself from financial loss in the event that problems develop regarding the rights to ownership of your property. There may be hidden title defects that even the most careful title search will not reveal. In addition to protection from financial loss, title insurance pays the cost of defending against any covered claim. What can make a title defective? Any number of problems that remain undisclosed after even the most meticulous search of public records can make a title defective. These hidden "defects" are dangerous indeed because you may not learn of them for many months or years. Yet they could force you to spend substantial sums on a legal defense, and still result in the loss of your property. But the lender already requires title insurance, won't that protect me? Not necessarily. There are two types of title insurance. Your lender likely will require that you purchase a lender's policy. This policy only insures that the financial institution has a valid, enforceable lien on the property. Most lenders require this type of insurance, and typically require the borrower to pay for it. An owner's policy on the other hand is designed to protect you from title defects that existed prior to the issue date of your policy. Title troubles, such as improper estate proceedings or pending legal action, could put your equity at serious risk. If a valid claim is filed, in addition to financial loss up to the face amount of the policy, your owner's title policy covers the full cost of any legal defense of your title. How much does title insurance cost? The one-time premium is directly related to the value of your home. Typically, it is less expensive than your annual auto insurance. It is a one-time only expense, paid when you purchase your home. Yet it continues to provide complete coverage for as long as you or your heirs own the property. Should I shop around for the best title insurance deal? Some states closely regulate rates. Others permit open competition, often resulting in significant differences between title insurers on rates and coverage. Depending on where you live, it pays to investigate your options carefully in order to obtain the most complete coverage. What items are needed at closing? You will want to have these items complete or in hand when you come to the closing (please confirm with your escrow officer, as practices vary by state): *Buyer* Buyer's copy of purchase agreement Cashier's check(s) to make all payments Proof of purchase of insurance for fire, casualty, etc. Invoices for any unpaid taxes, utilities or assessments Photo identification (passport, driver's license or state-issued identification card) *Seller* Seller's copy of purchase agreement Invoices for any unpaid taxes, utilities, assessments and latest utilities meter readings Receipts for last payment of interest on mortgages Bill of Sale of personal property covered by the purchase agreement Any unrecorded instruments that affect the title Proof of satisfaction of any mechanics' liens, chattel mortgages, judgments or mortgages that were paid prior to the closing Photo identification (passport, driver's license or state-issued identification card)

	Tips provided are general information to assist our customers and are accurate to the best of our knowledge. Lending policies and the relocation market is constantly changing, contact Ultimate or an industry provider for complete information on specific questions. Ultimate Relocation is not responsible for any errors included in these tips. Ultimate Relocation 6709 Stony Hill Rd McKinney TX 75070 Ph: 888-757-7540 972-569-8550