Understanding Title Insurance
There are two kinds of title insurance — a lender's title
policy and an owner's title policy. To protect their interest in
your property, mortgage lenders require buyers to purchase a lender's
title policy. But a lender's title policy doesn't protect your interest
as the homeowner.
For this you need an owner's title policy. This pays for all court
costs and related fees associated with any claim that might come
up. Also, if a claim is found to be valid, your actual loss-up to
the face amount of the policy-is covered.
What To Expect At Closing
Many people may attend the closing: you, your Odelia Pacific Sales
Associate, the seller (or builder) and their real estate agent,
and an escrow agent (closer) from the title company.
During the meeting, which usually takes an hour, you and the seller
will review all of the relevant closing papers, many of which you'll
sign. Then, after providing a cashier's or certified check for the
down payment and closing costs, the keys are eventually passed to
you and the house is yours!
What To Bring to Closing
In the rush of excitement of owning a new home, don't forget to
bring these following items with you:
- A photo ID.
- A certified check, made payable to the title or escrow company,
for the amount specified in your most recent Good Faith estimate
you received from your loan officer or lender. This usually includes
the balance of your down payment (subtract the earnest money you
paid when your offer was accepted), and fees for other services.
- Your personal checkbook so if other charges come up, you can
write a personal check to cover them.
- Your homeowner's / hazard insurance binder with proof of one
year's payment (usually a receipt).
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