Daredevils, those who like to live dangerously, need not apply for title insurance. Just kidding!
In our professional opinion (and rational mind), every property buyer should work with a title company so they can reap the many benefits of an insured closing.
Benefit #1: Security.
A title company protects the buyer and lender from liens and other title defects that could be recorded against the property in the “gap” period: The period between the date of the last courthouse record search through the recording date of the new deed and/or mortgage. Those who don’t close with a title company are always left vulnerable.
Benefit #2: All I’s are dotted and T’s are crossed.
Title companies are thorough. They ensure that all existing mortgages and other liens are paid off immediately after closing pursuant to written payoff instructions. Nothing is overlooked.
Benefit #3: No unwelcomed surprises.
A title company corrects all other defects in title prior to closing the transaction, such as errors in the legal descriptions or names of the parties, and resolves all issues related to legal proceedings that might affect the property. You can sleep tight at night knowing nothing will come back to haunt you.
Benefit #4: Stacks of paperwork…not your problem.
Title companies know their stuff. They guarantee the new deed, mortgage and other documents related to your transaction are in recordable form and then properly recorded. Your title company will take care of it all.
Benefit #5: Did we mention that they’re thorough?
Title companies are meticulous. They provide, pursuant to federal law, an itemized listing of all receipts and disbursements resulting from the sale.
So, is it worth not closing with a title company? Is it worth passing up all of these benefits?
Working with a trusted title company certainly has its perks. Wouldn’t you say?