Suggestions For Title Insurance On Tax Deed, Quit Claim
I got a property at a tax deed sale and another from a quit claim agreement. I would like to get title insurance but the amounts are outrageous plus they want to do all the searches over again and I already paid to have those done by abstractors. . Can anyone suggest any title insurance companies?
I don't have a whole lot experiance in this area to be honest, but I don't see how you can expect a title insurance company to insure title on a property unless they can do a search first.
I don't expect them not to do a search - however, I do not see the need for a second closing which is what all the companies I spoke to are wanting to do. I already did those and own the properties.
I just need suggestions of companies that provide title insurance
Most title companies will not issue title insurance on tax sale properties. Obtaining a quit claim deed can be very helpful in trying to convince the title company that later title issues will not arise.
The reason the amounts are high is because of the real risk that stems from insuring a tax sale property. A while ago someone had the idea of going through and researching all of the notification records and reciepts to determine if the tax sale property really did present a risk to investors. This process is called a tax title certification. The findings of the tax title certificate is presented to the title company which in turn can make a decision as to whether they want to insure the title. Again this service does cost money but it is less expensive than a quiet title suit and it would reduce the title insurance costs.
I suggest that you contact a company on the west coast call Tax Title Services.
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A title insurance policy protects against losses that occur when you discover after closing that someone else can claim ownership of the property.
Title companies will not provide title insurance based upon previous research you have done or have had someone else do.
Normally the examination covers all aspects of ownership during many years prior to closing. Even an expert title examiner can miss a defect during that time that might crop up to create problems for you later.
This is a major investment and title insurance should be perfected to secure your investment.
Look at it this way, why would a title company guarantee you a clear title based upon another's work it's kind of like someone fronting the money to purchase real estate with no written agreement or not taking title all based upon a hand shake!