Title Insurance protects against any claim that may arise from a dispute in regards to the ownership of a property. Unlike car, homeowner's, and other types of insurance, your title insurance premium is a one-time-only expense, paid as part of your closing fees at the time of your settlement. By shielding you from the hidden risks associated with buying property, title insurance provides you with peace of mind - your home is yours.

There are 2 types of title insurance policies, the first being an Owner's Policy. This protects you against losses suffered because of defects in the title to your property. Though you pay the premium only once, the Owner's Policy coverage lasts for as long as you and/or your heirs have interest in the property.

The second type of title insurance policy is a Lender's Policy, which most lenders require. This policy protects your lender from any losses they may suffer due to defects in the title to your property. Like the Owner's Policy, this premium is paid only once, and the policy lasts for the life of your loan. However, if you refinance your home, you will be required to purchase a new Lender's Policy.

Abstracting, also known as conducting a title search, is an essential part of the home-buying process, and one of the several services Credence Settlement provides. By searching the title to a property, any defects can be found and corrected before settlement, never hindering your ability to buy the home of your dreams. However, on rare occasions, problems with your title may exist that abstracting will not detect. Below are just some of the many unforeseen defects that can arise, making title insurance a necessity to every homeowner.

Erroneous Deeds Erroneous Recording Undisclosed Heirs Undisclosed judgments or liens Pre-existing violation of zoning and subdivision laws Erroneous or inadequate legal description of the property Forged notarization or witness acknowledgment

Title insurance premiums are policy specific. A Lender's Policy is based on your loan amount; an Owner's Policy is based on the sales price of the property. Contact your Credence Settlement Title Agent for an exact title insurance premium quote.