What is Title Insurance in New Jersey?
Title insurance is a policy that covers third-party property claims that are discovered after the property has been closed and do not appear in the initial title search. A third party is someone other than the property's owner. The term "title" refers to the legal ownership of a piece of property by a person.
Before your home loan expires, your mortgage lender will commission a title search with the title company. The title company searches the public records relating to your home to find defects in the title. For more information about title insurance, you can schedule a call with experts.
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Easements give others the right to use your property even if you own it. If you have a utility line in your yard, for example, the utility company will have a convenient way to access your property if they need to work on the line.
If a title search finds a problem (also called a "cloud"), the title company tries to solve it. In some cases, your real estate agent will need to work with the realtor for the seller to resolve the issue.
Types of Title Insurance:
There are two types of property insurance: lender's property insurance (also called a loan policy) and owner's property insurance.
A lender's insurance policy protects the financial interests of the mortgage company (such as mortgage insurance). This ensures that the lender has the highest claim on the property over any other liens.
