Tuesday, April 17, 2012

Title Insurance

I have been thinking about getting title insurance for the lot.  I was just curious if others had gotten this or not.  It is pretty expensive from what I have seen at $1K to $1.5K.


  1. From what I hear it depends on how much equity you start with. The sellers title insurance is mandatory and covers full price minus your initial downpayment. It I was putting more than 30% down I would consider it. Not otherwise for me. The land should have pretty simple title. Developer to you.

  2. I have no knowledge on the subject. What exactly would the insurance be for?

  3. It's not necessary unless the land you are building on has changed hands several times. You can do a preliminary check of the county records for your lot and see what turns up. If there is anything concerning or excessive land transfers, title insurance may be a good precaution. I'm not sure what jurisdiction you are in...but I would be happy to point you in the right direction.

  4. Is this something that could be mandatory in some areas? I was under the impression that we did not have a choice in the matter, but maybe that is a state/county/township regulation? Please steer me in the right direction if I am mis-informed! Thanks!

  5. I could be wrong with the title insurance that NVR gets, but I think that it may only protect them (like I say, could be mistaken). Having owners title insurance protects you against any claims (mainly on the land for new builds). Believe me, I don't want to spend the extra cash for nothing, but of course it would be for one of those disaster type of scenarios.

    I will have to think about it here more.

    I know you are actively looking out there Mike, did you happen to see who NVR purchased the land from?

    Thanks Mommy Esq., I have been looking around on the county site to try and get some of the history.

    Good link on this from Clark Howard: