8 Examples of Potential Title Hazards

A house is quite possibly the largest purchase you will ever make in your lifetime. With so many dollars on the line, it's important to make sure your investment is protected. There are several things people to do protect themselves as homeowners, such as thoroughly reviewing the inspection to identify potential issues and purchasing homeowners insurance to guard against the financial loss that may result from a fire or natural disaster. These two examples aren't the only pieces to the puzzle, however; this week, Arrowhead Title, Inc. is here to reexamine another important aspect of protecting your investment.

How Title Insurance Protects Your Investment

Title insurance provides one-of-a-kind protection for property owners and lenders. Whereas other types of insurance focus on the potential of financial loss relating to the property itself, title insurance guards against financial loss that may relate to a owner's right to use and occupy his land. It also protects lenders' investments by guarding against owners who may default on their mortgage loans.

Before a title policy is issued, your Lake of the Ozarks title company will conduct a thorough title search to identify any hazards that may limit a homeowner's use or enjoyment of his property. Any hazards that are identified at this time will not be covered in the subsequent title policy, as buyers will have the opportunity to resolve them ahead of time or potentially walk away from the sale altogether. The actual title insurance policy will protect homeowners in the event that an unforeseen hazard may arise that could threaten their right to use and occupy their land.

Examples Of Title Hazards

If you are new to the world of real estate, you may be wondering what types of hazards could potentially threaten homeowners in this way. Here are a few examples of the various threats that title insurance can help guard against.
  1. A missing heir that was named in a previous owner's will, but whose location was unknown at the time of the sale. She could eventually surface and stake claim on the property.
  2. An unknown easement that may grant a business, individual, or government access to use all or part of your property.
  3. If the previous owners did not pay their bills in full or on time, they may have had property liens placed against their titles. If one of these is identified after you become the legal owner of the property, you could be held liable for the debt even though it was not originally yours.
  4. An error in the public records that threatens your status as the lawful owner of your property.
  5. Disputes from prior property surveys that show your property line to be somewhere other than where you thought it was, potentially giving a neighbor access to a piece of your land.
  6. An unknown will that legally dictates the home be passed to someone else.
  7. Forgeries that falsify deeds, signatures, other important documents.
  8. Someone else impersonating the previous owners, thus selling a home that does not legally belong to them. If/when the true owners surface, they may still have legal ownership rights to the property.

Arrowhead Title, Inc. Is Here To Protect Your Interests

As the most trusted title company at the Lake of the Ozarks, Arrowhead Title, Inc. is here to protect you from these and other hazards that may limit or threaten your right to use and occupy your property. If you are buying a house at the Lake of the Ozarks, we hope you'll consider Arrowhead Title, Inc. to assist you with the process.

Visit our website at www.ArrowheadTitle.com or call us at 573-302-1950 to learn more!

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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