Much is said
on the role of title insurance in protecting
protect the buyer from unknown liens, easement holders, or a prior owners’
heirs who claim an interest in the buyer’s new home.
insurance covers the policy holder against loss related to these
various defects in title. Other examples of title defects include
undisclosed restrictive covenants on the property, documents recorded with
mistakes, and fraudulent or otherwise invalid transactions in the chain of
title. A good title insurance policy protects the policy holder
against property devaluation stemming from such problems if they arose during a
previous ownership, unbeknownst to the buyer. The role of the title insurer is
to defend the policy holder against legal challenges to the title,
and to pay the policy holder for covered losses in value.
So far, so
happens if there is a title defect, and the owner actually has to use the title
Continue reading “Unexpected Real Estate Title Defects: How to File a Claim With the Insurance Company”
This story, alas, is unfolding. Physical signs of a heating world and its shifting weather patterns appear in tropical storms and in sea level rise, in heat waves, droughts, and wildfires. The economic and physical impacts of climate change are making their mark on real estate.
Affected cities have already paid heavy costs in repairs and reconstruction, insurance premiums, and loss of trade and tourism. Real estate markets are seeing severe weather events steadily chip away at property values. Public initiatives to mitigate risks will increase taxes, code compliance burdens, and financing costs.
In other words, the risks go well beyond destructive incidents from specific disasters. They include higher capital and maintenance costs related to fire, water, and weather damage on properties over time. To anticipate the risk of climate-related damage, analysts are mapping properties—feeding site-specific data into geophysical, hydrological, and economic models.
Continue reading “New Risks for Property Owners: Economic and Physical Effects of Climate Change”
A co-op is
different—and maybe it’s perfect for you. But if you opt to live in a co-op,
will you hold the title to your home? Here’s how it works.
Continue reading “Owning a Co-Op: Different From Traditional Real Estate”
When you buy
a home, you receive the deed. And you hold title. The deed and title are
interrelated yet distinct concepts.
to ownership, including the legal right to possess and use a parcel, the
right to exclude others from using it, and the right to transfer
your interest to others.
If you do
transfer your property to another person, the deed is the vehicle that moves
your legal interest in the property to the other party.
Continue reading “Property Title? Deed? What’s the Difference?”
You own real
estate. If you’re asked, how do you show proof of your ownership?
the proof is in your property’s title history. This means:
- Your ownership interest is only as good as the interest conveyed to you by the last owner; and
- Others could have dibs on your property, if you used it to borrow money.
when you bought your home, the title company researched the chain
of title to ensure previous owner had the right to convey to
property to you. How do you check the chain of title now? The county
keeps records. Many county websites make the information
accessible online, so you can look up mortgages, other liens,
and deeds that pertain to your property.
Continue reading “How to Prove Ownership of Real Estate”
A new owner
of real estate receives a real estate deed. But what about a real estate
deed warranty? What are the common deeds, and what assurances do different
deeds make? Here’s what’s at stake for a new owner, depending on
the deed involved in the real estate sale.
Continue reading “You Have the Deed and Keys to Your New Home. What About a Guarantee?”
who owns real property dies, the property goes into probate or it automatically
passes, by operation of law, to surviving co-owners. Often, surviving co-owners do nothing
with the title for as long as they own the property.
Yet the best practice is to remove the deceased owner’s name
from the title.
review some common scenarios, and reasons to update a home’s title after an
Continue reading “Should You Remove a Deceased Owner from a Real Estate Title?”
Your home is
your castle. But language in your deed just might keep you from installing
a pool, constructing a basement apartment and renting it out, or
using a non-neutral shade of paint on your exterior walls. Here is a brief
explanation of deed restrictions and how they impact individual homeowners
— and entire communities.
Continue reading “Deed Restrictions: How They Impact Homeowners and Communities”
of trust, a trustee is
a third party who holds legal title to a property until the homebuyer or
commercial developer pays off a loan associated with the parcel—or until
the borrower defaults.
state’s law allows for deeds of trust as instruments to hold legal
title to a property:
- A lender financing the sale or development can easily exercise the right to foreclose.
- Foreclosure occurs not through the court, but under the power of sale clause in the deed of trust. (This allowance for non-judicial foreclosure differentiates deeds of trusts from mortgages and some land contracts.)
thrust is to lower risk for lenders. Perhaps it’s no
wonder that deed of trust states rarely go to bat for a
borrower fighting foreclosure.
analysis, we’ll look at the trustee’s narrow liability under the deed of
trust (not to be confused with a living
trust, in which a trustee must comport with exacting
review a recent case in point, involving a commercial borrower in
we’ll look at the exception that proves the rule: North Carolina.
Continue reading “You Have One Job: The Narrow Duty of a Trustee Under a Deed of Trust”
have liens on their real estate. Consider your mortgage—a lien
that leverages the home as collateral for your mortgage loan. Other
liens, too, can show up in a title search. Homeowners should know what
kind of liens might attach to a home they already own, or a home
they’d like to buy. Here, we review the basics of home liens: types of liens,
how they impact the home’s title, how they can lead to foreclosure, and
how to remove them.
Continue reading “How a Lien Affects the Real Estate Title”