Are You Able to Buy a Title Insurance Policy After Closing?

Purchasing lender's title insurance is generally a part of the home buying process. But what about the owner's title insurance? If you did not purchase an owner's title insurance policy during the home buying process, can you buy one after closing? The short answer to this question is "yes," but there are a few more details worth mentioning.

The Ideal Time to Buy Title Insurance

If you close on your home and then realize you want title insurance, a title service will typically allow you to buy a policy. However, buying title insurance after closing is not the best choice. You're far better off buying such a policy during the home buying process, when possible.

There are a number of issues that can be revealed with a home's title shortly after closing. You may discover that there was an error in public records, and someone else has a claim to the property. Or, you may discover that there is an outstanding lien on the property. If these issues are revealed in the first few weeks that you own the home and you don't have title insurance, you'll be held financially responsible. On the other hand, if you buy title insurance before closing, you'll be protected — whether an issue comes to light the day after the sale or 20 years down the road.

The Right Type of Title Insurance

Don't assume that the lender's title insurance that you're paying for will also cover you, as the owner of the home. That policy exists to protect the bank that holds your mortgage. Lender's title insurance is required when you buy with a mortgage, so it will automatically be included as a part of your home purchase. The buyer typically pays for the lender's title insurance as a part of their closing costs.

For your own protection, you need an owner's title insurance policy. Typically, you can purchase such a policy from the same title company that issues your lender's title insurance. Sometimes, you may be able to negotiate with the seller and arrange for them to pay for your title insurance policy. This can be seen as an act of good faith; it's a reassuring sign that, to the seller's knowledge, the home's title is clear and free from defects.

If you recently purchased a home and did not buy an owner's title insurance policy, then buying one now is better than having nothing. On the other hand, if you have not yet purchased a home, then you should aim to buy title insurance prior to closing.

Feel free to contact Heritage Land Transfer if you're looking for an escrow agency and title company Pennsylvania residents trust. We've been in the business for more than 30 years, and we take a personalized approach with every client. Our guaranteed lowest rates, efficient processes, and lightning-fast, convenient closings make us the favorite of buyers, sellers, realtors, and lenders alike!

This blog was originally posted on https://landtransfer.com/are-you-able-to-buy-a-title-insurance-policy-after-closing/

Lender’s Title Insurance Policies, Everything You Need to Know

When you purchase real estate with a mortgage, there are a number of fees you're required to pay. One of these fees will be for the lender's title insurance. It may sound strange, at first, for you to pay for insurance for your bank. However, once you know the basics about lender's title insurance, it becomes more clear why such a policy is needed. Here are the key facts that all potential home buyers should know about lenders' title insurance.

What Is It?

Title insurance exists to protect the policy holder from any defects in the title that are revealed after the sale of the home. For example, if a home is found to have a lien against it years after you purchase it, title insurance will come into play. It will also come into effect if someone else is found to have a claim to the property after the sale.

Why Does the Lender Need It?

It's important to point out that the lender's title insurance protects the lender — your mortgage holder — and not you, personally. If someone has a claim or lien against the home, this policy ensures they can not come after the bank for the money they claim to be owed. The insurance company will instead pay any necessary costs.

Do You Have to Buy It?

Yes. If you take out a mortgage to purchase a home, buying a lender's title insurance from a title service is required. You should be informed as to the cost of such a policy early on in the home buying process. It's generally wrapped into your closing costs.

How Much Coverage Does It Offer?

A lender's title insurance policy usually offers coverage equal to the loan amount. For example, if you take out a $200,000 mortgage, your lender will need a title insurance policy for $200,000. As you pay off your mortgage and the lender's interest in your property decreases, the title insurance coverage decreases, too.

Should You Have Title Insurance, Too?

If you also want personal protection from any liens or claims against your property's title, then you will need to purchase what's known as owner's title insurance. This is a separate title insurance policy from the one that protects your bank.

Owner's title insurance is not required by law, except under some very specific circumstances. However, holding such a policy is a good idea, especially if you have reason to believe there may be claims or liens against the home that weren't uncovered in the title search.

Purchasing a lender's title insurance is an important part of any real estate transaction that involves a mortgage. If you're looking for a title company Philadelphia residents rely on, consider Heritage Land Transfer. We're a full-service title company and escrow agency that offers a superior experience, thanks to our client-centered approach and decades in the industry.

This blog was originally posted on https://landtransfer.com/lenders-title-insurance-policies-everything-you-need-to-know/

Why Choose Heritage Land Transfer Company, Inc as your Title Company

Title search and title transfer are two very important parts of a real estate transaction. It's important to choose a title company Pennsylvania residents can trust in order to handle these processes. At Heritage Land Transfer, we are proud to be a step above the competition. We are confident we can handle your transaction with ease, but don't just take our word for it. Here are a few key reasons to choose us as your title company. 

1. 20-Minute Closings

Closing on a real estate deal is not anyone's idea of a good time. As such, you probably don't want to be sitting around the closing table and signing paperwork for any longer than is necessary. At Heritage Land Transfer, we can deliver 20-minute closings when time is of the essence. This allows you to finish and get on with your day, whether that means heading back to work or going home to see your family.

2. In-Home and Virtual Closings

Do you have kids you don't want to leave with a sitter? Perhaps your car is in the shop. If you can't make it to our offices, we can come to you. We offer in-home closings to make things simpler for our customers, whatever their needs may be. 

Maybe you got called away on travel, or perhaps you're selling a home remotely. In cases like these, we can provide title services and closings virtually and securely, using our cutting-edge software.

3. In-House Attorneys

Many title companies rely on outside attorneys. This slows down the title search process and can lead to longer closing times. At Heritage Land Transfer, we employ our own attorneys in-house. This allows us to provide our customers with more comprehensive services, and it also allows us to work faster than our competition.  

4. Client-Focused Approach

Every client is unique. As we work with you to facilitate your real estate transaction, we get to know you personally so that we are better able to understand and fulfill your unique needs.

We have in-house interpreters to help us communicate clearly when a language barrier comes into play, and we contract with additional, outside translators as needed, too. We'll keep you informed every step of the way as we conduct your title search, prepare your settlement, and ready your account for closing.

5. Community Involvement

At Heritage Land Transfer, we are proud to be a part of the communities we serve. Our employees can spend up to 20 paid hours each year volunteering in the community. We also offer scholarship programs to help support our youth.

If you're looking for a title company Philadelphia is proud to call its own, then Heritage Land Transfer is the choice. We offer a wide range of services, from title transfer to contingency resolution, and we are also an escrow agency.

Contact us to learn more about us and our dedication to putting clients first.

This blog was originally posted on https://landtransfer.com/why-choose-heritage-land-transfer-company-inc-as-your-title-company/

Property Title Search: What It Is And How It Works

Before you purchase real estate, you will need to hire a title company to conduct what's known as a title search. As an informed and involved property owner, it is important to understand what a title search involves and why is it so important.

What Is a Title Search?

When you purchase real estate, you acquire a document called the title, which proves your ownership of that property. You hold that title until you sell the property, when the title is transferred to the new owner.

A title search is the process used to verify that the person selling the property does, indeed, have the legal right to the title of that property. As a part of the search, your title company will discover all of the previous holders of the title. They'll also find out whether there are any liens against the property. For instance, if a previous owner failed to pay their property taxes, the local government may have a lien against the title.

If the title search does reveal any liens, restrictions on the use of the land, or previously unknown claims to the title, then these can be dealt with before you purchase the property, thus ensuring that you have a clean right to the title.

How Is a Title Search Conducted?

Conducting a title search involves a lot of phone calls and reviewing of records. As a part of the process, your title services provider reviews tax assessments, court records, insurance policies, wills, and other relevant documents. 

Once the search is complete, your title company will either inform you that the title is clean, or they'll let you know that there's a defect in the title. If there is a defect, such as a lien, unpaid taxes, or easements, then your agent will walk you through the process of addressing the defect, should you so choose. You may also decide to walk away from the sale based on the results of the title search.

How Long Does a Title Search Take?

This depends on the property you're purchasing. A title search for a newer property could take just a few hours. For an older home that has had many owners, the search process could take several weeks.

What If The Title Company Misses Something?

Title companies do their best to be thorough, but on occasion, a defect might go overlooked. In such cases, a title insurance policy will protect you. If you have title insurance and a defect is discovered in your title after purchase, then your insurance policy will pay for any related damages. Purchasing title insurance is highly recommended for this reason, and is mandatory in Pennsylvania for properties purchased or refinanced with mortgage loans. 

The title search is a very important part of any real estate purchase. If you're looking for a title company Philadelphia residents depend on, contact Heritage Land Transfer. We have been providing title and escrow services in PA, NJ, and beyond for more than 30 years!

This blog was originally posted on https://landtransfer.com/property-title-search-what-it-is-and-how-it-works/

What Title Insurance and Is It Necessary?

When you purchase real estate, you receive an official document called a title, which is meant to show or prove your ownership of that property. As a part of the purchasing process, your attorney and title company will review the title to see whether there are any past claims or liens against it.

On a rare occasion, an attorney might overlook something, or information relevant to the title may be concealed. What happens then? Well, if you purchased title insurance, you'll be protected, and your property ownership will be maintained. Keep reading to learn more about title insurance and why it's so important.

What Is Title Insurance?

Title insurance is a type of insurance designed to protect the policyholder should any problems with the title come to light. What could go wrong with a property title? The most common example is a previously unreported lien.

Say, for instance, your title services company conducts a title search prior to your purchase of the property. They fail to discover that Company X has a lien for $100,000 against the property. You find this out 5 years later when Company X shows up and attempts to collect their money. Without title insurance, as the current title holder, you'd be liable to pay that $100,000. If you have title insurance, it becomes your insurer's responsibility to pay. 

In addition to protecting you against unreported liens, title insurance protects you from unintentional errors in the filing of documents, forged ownership rights, and other title defects that originated prior to your purchase of the policy.

Who Needs Title Insurance?

Lenders always purchase title insurance as a part of the mortgage process. The bank needs to know that if a defect is discovered in the title, they are not liable for the damages. The cost of this title insurance is generally held in an escrow account by an escrow agency and passed on to the buyer during closing.

Homeowners are not required by law to buy title insurance, but it is a good idea. While there are only a few claims made on title insurance policies each year, learning that there's a lien on your home can be financially devastating. Title insurance, by comparison, is very affordable. Plus, once you purchase a policy, it never expires. You are forever protected against any issues that may arise with your title.

It's wise to buy title insurance when purchasing any property. However, it is especially important if you're buying a home in foreclosure, as a short-sale, or at auction. Homes being sold in these ways are more likely to have a complicated history of ownership and title defects.

Title insurance is mandatory in PA and NJ for property purchases involving loans. While title insurance is not required for homeowners paying cash, it is still highly recommended. If you're looking forr a title company Philadelphia, trust Heritage Land Transfer to save you many headaches in the future. Contact us today to learn more about our services. We're a title company Pennsylvania and New Jerssey residents have depended on for over 30 years for title transfer, lender coordination, title distribution, contingency resolution, and more.

This blog was originally posted on https://landtransfer.com/what-title-insurance-and-is-it-necessary/