If you’re in the market for real estate in Windham, chances are you’ve come across the terms “title insurance” and “title search” a few times. It’s important to understand the difference between these two services before you purchase a property. Here is a breakdown of title insurance vs. title search to help clarify the difference for Windham buyers.
A title search is a review of the records related to a property’s ownership, conducted by a title company or attorney. It is used to determine if the person selling the property is the rightful owner, if there are any liens or encumbrances on the property, and if there are any potential title issues that may need to be addressed before the purchase. A title search is typically included in the cost of the title insurance policy.
Title insurance is a type of insurance policy that protects the purchaser and lender from potential title issues that were not identified in the title search. Title insurance premiums are paid one time and are typically included in the closing costs. The title insurance policy does not cover any debts or liens that are attached to the property, but it does cover any title issues that may arise from mistakes in the public records, fraud, forgery, or mistakes made during the closing process.
When you’re purchasing property in Windham, it’s important to understand the difference between title insurance and a title search. A title search is a review of the records related to the property’s ownership to make sure the seller is the rightful owner and there are no liens or encumbrances on the property. Title insurance is an insurance policy that protects the purchaser and lender from potential title issues that were not identified in the title search. Understanding the difference between title insurance and title search can help you make the right decisions when purchasing property in Windham.Title Insurance vs. Title Search: Clarifying the Difference for Windham Buyers