There is no doubt that buying property is exciting, but it’s also one of the most significant financial commitments you’re likely to make in your lifetime, and it brings a certain amount of risk. A simple insurance policy, Title insurance could protect you from unknown property ownership risks. These unknown risks could threaten your right to occupy and use your newly purchased home or land.
There are hidden issues in almost every property purchase.
It’s easy to assume that the paperwork and professional inspections conducted when you purchase a property will disclose everything about that property. Don’t be fooled. Even with the expert advice of an experienced property conveyancer and building inspector, hidden issues can still arise once you take over the property’s title. Hidden problems can include:
- Unapproved DIY renovations.
- Identity theft and fraud
- Planning or zoning laws determine you can’t live on your property.
- Structures built onto your land without your consent or knowledge.
- Wrongly calculated fees (land tax, council rates, water rates, or strata levies).
Rectifying these hidden issues can be time-consuming and expensive. Unfortunately, they can happen to anyone. Title insurance provides coverage for these kinds of unforeseen situations.
What is title insurance?
Title insurance provides cover against several property ownership risks. Title insurance provides peace of mind to property owners, whether the property is a vacant lot, a house, or a strata property.
Is title insurance expensive?
How much is title insurance?
The costs involved in taking out title insurance are surprisingly affordable. Typically, the policy consists of a one-time premium, valid for the life of homeownership. Caps and exclusions can apply, but there is usually no excess to pay in the event of a claim. As with any insurance policy, premiums vary according to property location and property price.
Is title insurance right for me?
If you’re a first home buyer, about to purchase your first property, or already own property but are considering expanding your portfolio, consider title insurance. You can get title insurance on vacant land, strata properties, residential properties, commercial properties, and lenders.
What does Title Insurance cover?
Typically, title insurance covers a range of protections, including:
- Illegal building works: title insurance covers any structures or renovations built by previous owners without council approval.
- Incorrect boundary: title insurance covers boundary issues, including fences, retaining walls, or structures not built on the actual boundary.
- Fraud or forgery: title insurance provides cover for fraud (at purchase or anytime during ownership).
- Other property ownership risks.
When should I purchase title insurance?
Most people arrange title insurance either when purchasing a property or any time afterward. The policy activates as soon as you pay the premium, and you become the property owner. The policy remains active until you sell the property or transfer it to another owner.
Why C&R Settlements?
Our experienced team prides itself on working with clients to make the settlement process simple and easy. Call us today for a Perth settlement quote and let us help guide you through the property purchasing process.
We are Perth’s most trusted settlement agency. We approach every settlement with patience and understanding. We work collaboratively to achieve a timely and stress-free settlement.
If you have any questions about title insurance, don’t hesitate to contact us today.