Do I Really Need Title Insurance?

By Dana Monson

My team and I are expert real estate agents with Keller Williams in Marysville, WA and serve the greater Puget Sound area, providing home-buyers and sellers with professional, responsive, and attentive real estate services since 2004. Want an agent who'll really listen to what you want in a home? Need an agent who knows how to effectively market your home so it sells? Give us a call! We are eager to help and would love to talk to you.

When people are buying or selling real estate, one of the things that will need to be obtained is Title Insurance. But, what is title insurance and what does it cover? Why do you need it? And how does it work when buying or selling a piece of property?

Title insurance is important in real estate transactions because it covers the past, unlike other types of insurance that cover future events, like homeowner’s or car insurance. It verifies property ownership, outstanding liens, judgments, easements, and more by providing a comprehensive report of all recorded documents related to the property.

For sellers, a title report ensures they’re aware of any outstanding obligations, such as liens or mortgages, that need to be addressed before selling the property. And for buyers, it provides assurance that the property they’re buying is free from any undisclosed encumbrances or claims.

The lack of title insurance could put buyers at risk of facing fraudulent claims, unexpected encroachments, undisclosed easements, and boundary issues on the property they are buying. These potential issues may require legal intervention to resolve. That is why it is important for buyers to read and understand this report.

Title insurance serves as a safeguard against these scenarios, providing peace of mind to both buyers and sellers. If you have any more questions on this subject, or any others related to real estate, you can call us or send us an email.