Avoid These Costly Mistakes When Skipping Title Insurance

1. AVOID THESE COSTLY MISTAKES WHEN SKIPPING TITLE INSURANCE When home or property buyers are making decisions, many focus their attention on the obvious factors of location, price, or upgrades, and fail to consider what could be one of their most vital protections—obtaining title insurance. Although it might appear that title insurance is an additional expense that could be passed up, you could end up assuming serious financial and legal risk that may cost you much more if the title insurance is skipped. Here's a list of costly mistakes buyers make when they decide to opt out of this crucial protection. Ignoring Hidden Ownership Issues A property title establishes legal ownership rights—but that doesn't mean that all ownership histories are clean. Buyers who opt out of title insurance run the risk of taking on unresolved property title issues, such as unpaid property taxes or previously undisclosed heirs, or potentially verified signatures from previous ownership transactions. Some of these issues may not appear upon a title search, and they may arise later to dispute your ownership. Title insurance is designed to address some of these unexpected issues, including the legal and financial consequences that may arise from making a claim.

2. Overlooking Past Liens and Debts A very common, and potentially expensive, reason to skip title insurance is the possibility of existing liens or debts associated with the property. For example, contractors, lenders, or even government entities may have a legal right to the property due to unpaid bills or taxes. If a new owner doesn’t have title insurance, they can be held liable to pay those debts even if they weren't responsible for the charges. The important thing to understand is that title insurance protects against subjective debts and ensures the new owner won’t be liable to pay someone else's costs, which could save thousands of dollars and headaches. Final Thoughts A good way to think about title service in Lake Charles, Louisiana, is that it offers a safety net for your most important investment against the hidden dangers you don’t see when making a purchase. You must be certain you have good title insurance in place before you close your next real estate transaction, which will bring peace of mind for many years. GET IN TOUCH! 337-433-9436 Sgpgl.com/lake-area-title/