MA home buyers often ask about title insurance, what it is, and and if it is necessary. Lender’s title insurance is required by the lender, however, owner’s title insurance is an optional feature. MA buyers should assess the facts and decide for themselves whether they ought to buy it. The following are MA title insurance important facts.
Why Insurance Is Helpful Even After a Title Search
Before closing, a title search is routinely performed by the title company. This confirms that no other entity has a claim to the MA home and that the title is able to be transferred to a new buyer. The title search is not full proof and may not detect defects in the title. Title insurance will protect you against previously unknown title issues and the costs associated with defending your rights to title on the MA property.
Title Insurance Coverage
Title insurance is a one-time charge at closing that will cover you for the lifetime that you retain ownership of the MA property. You can buy it after closing, but it is normally less costly when bought at closing. The cost is based on the price of the property.
MA Title Insurance Important Facts and Coverage
Title insurance general coverage includes…
- Fraud in connection with the execution of past title transfers.
- Pressure on a seller or executor (of a will).
- Impersonation by those pretending to be owners of a MA property.
- Erroneous marital status of a seller.
- Mental Incapacity of parties involved.
- Conveyance of a under-aged party.
- Non-delivery of essential paperwork.
- Unresolved claims not shown in the records.
- Incorrect indexing at Registry of Deeds.
- Clerical mistakes in recording legal documents.
- Delivery of deeds proceeding the death of a seller.
- Transfers executed under incorrect powers of attorney.
Some policies also cover…
- undisclosed heirs.
- Wills not properly probated.
- Mistaken interpretation of wills.
- Birth of heirs subsequent to the date of a will.
- Inadequate MA land surveys.
- Inaccurate legal descriptions.
- Blunders due to identical names.
The above information is just generic information. Consult a local title company for accurate MA title insurance important facts and pricing, as they commonly vary based on the title insurance provider.