When you buy a home or refinance, understanding the differences between lender’s and owner’s title insurance policies is crucial. A lender’s policy protects the bank’s interest in your property until your mortgage is paid off. An owner’s policy, on the other hand, safeguards your rights as the homeowner for as long as you or your heirs have an interest in the property. While customs vary by region on who purchases the owner’s policy, it’s an essential step in protecting your investment. Refinancing requires a new lender’s policy but not a new owner’s policy.

Types of Title Insurance Policies

SafeHarbor Title Company LENDER’S POLICY
Title insurance is often a must when mortgaging a home, safeguarding the lender’s interest until you’ve paid off your loan.

Buying an owner’s title insurance policy protects your and your heirs’ property rights. It covers claims, legal fees, and ensures a thorough title search.

There are various customs regarding the purchase of title insurance. In some areas of the country, it is customary for the seller to purchase the owner’s policy for the buyer, whereas in other areas the buyer purchases this important protection.

Do you have more questions about title insurance? We are happy to answer them.

Contact us today at SafeHarborTC.com