leeandrewckParticipantStatus: PhysicianPosts: 1Joined: 04/26/2018
We are in the process of closing on our first home. The cost of the lender’s title insurance is required by the lender and is regulated by the state here, based on home purchase price. We were offered to options to:
1. Purchase owner’s title insurance
2. Choose between standard vs. enhanced title insurance (enhanced one would provide in theory provide more comprehensive coverage, things like post-purchase lien on the property, etc).
The target house is relatively new, built in 2007 with one prior owner, located within a HOA community. i’m leaning towards getting the owner’s title insurance. Is the enhanced version worth the cost (~$400)
Thanks,June 10, 2019 at 4:24 pm MST #220824ENT DocParticipantStatus: PhysicianPosts: 3437Joined: 01/14/2017
No. In speaking to my title person they saw title insurance come in handy one time in 20+ years. What a joke.DCdocParticipantStatus: PhysicianPosts: 535Joined: 06/14/2016
NoJune 10, 2019 at 5:17 pm MST #220846ZaphodParticipantStatus: Physician, Small Business OwnerPosts: 6061Joined: 01/12/2016
No, regular title insurance isnt worth it, what a scam.
For as rarely as its a problem it is exceedingly overpriced.InsuranceproParticipantStatus: Financial Advisor, Insurance AgentPosts: 47Joined: 03/26/2019
Title insurance policies rarely pay claims because the insurance company finds and eliminates title problems during the underwriting process. That’s really what you’re paying for.Steven Podnos MD CFPParticipantStatus: Physician, Financial AdvisorPosts: 163Joined: 09/21/2017
I’d agree that the real value of the title insurance is having someone with skin in the game carefully evaluating the chain of title and finding fraud, easements, government actions against the property (etc.). But I did in fact once have title insurance also pay off on a property that had a “missed sale” before I became involved. I think you have to have it.June 11, 2019 at 6:55 am MST #220947