Title Insurance for Home Buyers and Sellers

Title insurance is crucial when purchasing a home. While there are various insurances and third-party services to consider, many buyers overlook the importance of title insurance. This type of insurance protects both you and your mortgage lender from losses stemming from defects in the property's title.

Such defects can range from improperly recorded documents to forgery, easements, or encroachments. Having solid title insurance is essential to safeguard yourself in case of such issues.

Furthermore, title insurance is not just important but required to protect your interest in the property. If someone were to claim ownership interest or if a defect were discovered, title insurance would shield you from any resulting losses. Without it, you could face significant financial liabilities — potentially losing hundreds of thousands of dollars and even risking the loss of your home.

Title insurance is a one-time, up-front fee — not an ongoing expense. An owner's policy is based on the home's purchase price, while a lender's policy is based on the loan amount. Both policies together usually cost about 0.5% to 1.0% of the home's purchase price, or $1,500 to $3,000 on a $300,000 home, according to ALTA.

In North and South Carolina, the price for title insurance is the same no matter which title insurance company you use. However, it's important to make sure you are using a reputable company with experienced underwriters. You can get an estimate of what title insurance costs in your area using the rate calculator.

Who pays for title insurance? The buyer pays for the lender's title insurance policy as part of their closing costs. Either the buyer or seller can pay for the owner's policy on behalf of the buyer. Local real-estate custom often determines who pays. Buying an owner's policy at the same time as a lender's policy can reduce the cost of the owner's policy through what's called a "simultaneous issue charge."

We are a local title insurance company situated in the heart of North Carolina. Ballantyne Title is an industry leader, and we are deeply committed to safeguarding your home-ownership interests. Our dedication to excellence means you can rest assured that we will handle any title claims with the utmost care and professionalism.

Choosing Ballantyne Title offers several key benefits. Firstly, as a local company, we have a deep understanding of the local real-estate market and the specific needs of homeowners in this area. This allows us to provide personalized service tailored to your unique situation.

Secondly, our status as an industry leader means that we have the expertise and resources to handle any title-related issues that may arise. You can trust us to navigate the complexities of title insurance with ease, ensuring that your interests are always protected.

Finally, our commitment to customer satisfaction sets us apart. We prioritize clear communication and transparency, ensuring that you are always informed and involved throughout the title insurance process. With Ballantyne Title, you can have peace of mind knowing that your home-ownership interests are in good hands.

A title insurance policy covers underlying issues with a property's title that might have been missed before you bought the home. Basically, it comes in handy if the public-record search conducted by the title company failed to catch any liens or ownership disputes.

These are some of the issues an owner's title policy can protect you against:

• Property survey errors
• Boundary disputes
• Errors on the property deed
• Building-code violations by a previous owner
• Conflicting wills
• Claims by an ex-spouse who didn't sign off on the sale
• Forged documents
• Liens from contractors, taxing entities or previous lenders
• Encroachments
• Improperly recorded documents

Title insurance doesn't protect homeowners against all possible infringements on their property rights. For example, it doesn't protect you against title problems caused by your own actions — such as failing to pay the company that replaced your roof or failing to pay your property taxes. It also doesn't protect against eminent domain, which is when a government seizes private property for an ostensibly public purpose.

In short, it doesn't protect against issues newly created after you buy the property. It protects against issues that might have affected your decision to purchase the property had you known about them at the time.

An owner's standard policy covers most common title defects. An expanded (also called "enhanced") policy adds protection for additional risks like post-policy forgery, identity theft and certain building-permit issues, and may include automatic increases in coverage as your home appreciates.

The right choice depends on your property type and risk profile. Talk to us — we'll walk through your options and recommend what fits.