Hello, this is Attorney Hunter Cavell. And today I want to talk about buying real estate and something called title insurance.
Now, title insurance is a must. What it does is it basically protects you from anyclaim someone has on the property before you buy it. Let’s say there are unpaid state taxes. If you have insurance and they don’t catch it, then you have an insurance policy to cover you. Now, if you don’t have insurance, the taxes can follow the property and come after you. This is especially true if somebody’s gifting you property or if it’s a transfer between family. You should also get what’s called a general warranty deed, which means the person selling it doesn’t know of any of this stuff happening, and they will help you out if there is something clouding title. Do not go with a quit claim deed, because what that means is you’re buying whatever the person is selling and they don’t have to warranty you anything. They could effectively not own the property and give you a quit claim deed and then not have any enforce. But what you really need to do is purchase title insurance. Yes, it’s expensive. Yes, it’s necessary. And that’s your tip for today. Thank you. And check out cavelllaw.com.