Frequently Asked Questions
WHO WE ARE
What is a Title Company?
As a real estate title company, our job is to verify that the title to the real estate is given to the homebuyer. Essentially, we make sure that a seller has the rights to sell the property to the interested buyer. After the verification is complete, we complete a commitment title insurance on behalf of the lender or buyer which ensures that the buyer is receiving a clear title on the property and any outstanding issues are resolved. After all of the steps are completed, our underwriter will issue a title insurance policy that covers both the lender and the buyer.
What is Title Insurance?
If you are taking out a mortgage loan when purchasing your home, your lender will most likely require title insurance. In short, title insurance protects the lender and buyer from financial loss due to title defects. It will also insure your ownership rights to the property.
Do you need title insurance?
Your lender will more than likely require you to purchase title insurance unless you are paying for your home out of pocket. Title insurance protects yourself from title defects which could give someone else claim to your property. We advise purchasing a policy as a form of protection.
How much can I expect to pay for title insurance?
Title insurance rates vary depending on the cost of the home and the lender. Typically, it will usually take up less than 10% of your total closing costs. However, unlike other insurance policies, title insurance is a one-time cost that you pay at the time of purchase instead of a monthly premium.
What does title insurance protect me from?
Title insurance will pay for any legal defense costs and reimburse you for any mortgage payments that you may be unable to make due to losing your home if someone else claims it. Title Insurance can also protect you from many things including:
- Forged deeds, releases or wills
- Misinterpretation of wills
- Deeds by persons who are supposedly single, but are actually married
- Deeds by minors
- Unpaid taxes
- Unpaid inheritance
- And more…
What is closing?
Closing refers to the part of the real estate transaction process where the title will move from the seller to the buyer. Closing may also be referred to as “settlement.”
Are all title companies closing companies?
No, not all title companies are closing companies. There are some title companies that only sell insurance and others that may only work in escrow. At Greater Nashville Title we offer a variety of real estate, title and legal services allowing us to help you with all of your closing needs.