3 Scenarios When You NEED Title Insurance

We have talked in great detail about the many different types of hazard title insurance can protect against, but some of these concepts can be hard to integrate. You've heard that title insurance protects against unknown heirs and unauthorized signatures, for example, but do you know what that really means? This week, your trusted title company at the Lake of the Ozarks is here to help you understand how title insurance can protect you with these simple, concrete examples.

Scenario #1: Purchasing A Home In An Invalid Sale

A title search and title insurance can protect you from buying a home that the seller is not authorized to sell. Perhaps the supposed "sellers" aren't actually owners of the property, but renters who are looking for a way to (illegally) make some money. Or perhaps the seller purchased the home fifteen years ago with his spouse. Though they may have been divorced and out of contact for several years, if his ex-wife's name is on the deed, she will still need to sign in order to authorize the sale of the home. If she does not sign, she could resurface and claim ownership of the property at a later date.

Scenario #2: An Unknown Heir

When you buy a house at the Lake of the Ozarks, you assume that you (and perhaps your spouse) become the sole legal owners of the property in question. However, perhaps the original owner of the house passed away, and the surviving family members were not aware that the deed was suppose to have been passed down to a specific heir. If this heir was not identified before the sale, then he/she could attempt to claim ownership of the property at a later date.

Scenario #3: Unknown Property Liens

Property liens come in many different forms, but they all result from the same thing: inability or refusal to pay someone the money owed to them. If a property owner fails to pay their utility bills, home renovation company, taxes, assessments, etc, a lien may be placed against the property. This lien ensures that when the property is sold, these outstanding debts will be repaid. If the lien is not discovered before the sale of the home is finalized, the new buyer may be held responsible for the lien(s).

And So Much More...

We hope these examples help you understand the types of hazards that title insurance can help guard against, but we want to stress that the list of potential hazards does not stop there. Title insurance can help protect against a wide variety of other potential dangers, such as:
  • Forged deeds or wills
  • Mistakes in public records
  • Improper modification of documents
  • Utility easements
  • Invalid power of attorney

If you are considering buying real estate at the Lake of the Ozarks, we hope you'll consider Arrowhead Title, Inc for your title needs. Accuracy matters to everyone at our title agency, and we promise to do everything we can to ensure that your biggest investment is protected.

The Lake of the Ozarks' Most Trusted Title Company

Where Accuracy Matters!

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750 Bagnell Dam Blvd Suite B
Lake Ozark, MO 65049


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