After looking at several properties, you’ve finally found the right one. All that remains is to make an offer and prepare for closing. In some cases, the seller may not be in a position to sell due to problems known as “title clouds.” That’s why title insurance is important. If you do not have it, you may face lengthy delays and exorbitant legal fees. There are several title companies near me offering title insurance, but you’re probably wondering “which one is best?”.”
One of the leading title companies in Minnesota is Cities Title Services. Our team of experienced title professionals is ready to make you our next satisfied customer! Please don’t hesitate to contact us if you have any questions.
An investment in title insurance protects you from these common title clouds:
Judgments, liens, and delinquent taxes
If a property owner’s creditors haven’t been paid, they can file liens against real estate, which must be resolved before the transfer of title. The property owner must also settle unpaid taxes, child support, and legal judgments prior to selling the property.
Heirs unknown or unreported
A deceased property owner’s deceased family members may emerge with a legitimate claim to the property if he or she leaves no will. An experienced lawyer can also delay a real estate transaction in probate court for months, if not years, even if there is a will.
Typos occur all the time, but when they occur in a legal document, they can cause problems. Clerical errors are easy to resolve if caught early, but they can definitely cause delays.
Forgery and fraud
Fraud is often viewed as a big criminal conspiracy, but sometimes it can be as simple as a forged signature by a seller looking to speed up a transaction. Fraud and forgery, irrespective of the intention, can delay a sale for months.
You don’t want to spend your own money on title disputes, as they are inconvenient and expensive. With a small investment in title insurance, you will be protected, and the process is quick and easy.
Search for errors, liens, and encumbrances in public records: Sometimes there are mistakes in public records. Unrecorded property releases from paid off mortgages, for example, result in liens against the property. The previous owner may also use contract work but not complete the payment, which results in a lien on the property. Using these public releases, a title company will verify any liens on the property by contacting previous owners and lenders. In addition, it will make sure any forgeries or illegal deeds aren’t enforceable.
Check the boundaries, legal description and easements of your property: The last thing you want is an unfriendly neighbor arguing over your property lines. Your title company verifies your property’s dimensions and easements, which are rights to use another’s property.
Identify forgeries, impersonations, illegal deeds, and missing heirs: You also need to keep an eye out for forged or illegal deeds to your property, or that a previous owner died without a will and had missing heirs who might claim the property. One of the purposes of a quitclaim is to transfer ownership. A title company will analyze all of the documents related to fraudulent ownership transfers, such as quitclaims, and follow appropriate state laws to properly notify all heirs of the documents needed to release their interest in your property.