SCHUTT LAW FIRM, P.A.
Phone: 239.540.7007
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Schutt Law Firm, P.A. - Attorney Profile
Home Closing 101
Do you know what to expect on closing day?
Most people don’t. And that can lead to some uneasiness. But help is here. The American Land Title Association, or ALTA, has created a website featuring information every homebuyer can use to help familiarize themselves with the closing process before walking into the closing
The Home Closing 101 Site
At Home Closing 101 you will find information you can use to prepare yourself for closing. The site covers topics such as title insurance, escrow fees and closing costs. So when the time comes to sign on the dotted line you’ll feel fully prepared.
Home Closing 101 is especially helpful for first time buyers. Buying a house is an exciting time and the more you know about the process, the more relaxed you’ll be going through it. Spend a little time on the site and you can walk through the home buying process, receiving explanations for each step and helpful hints on how to find the right people to help you on your journey to homeownership.
Click here to start learning about the home buying process.
What Is American Land Title Association (ALTA)?
Founded in 1907, ALTA is the national trade association and voice of the title insurance industry. ALTA members search, review and insure land titles to protect home buyers and mortgage lenders who invest in real estate.
ALTA members advocate safe and efficient transfer of real estate and insist on high standards when searching land title records and preparing insurance documents. The industry seeks to eliminate risk before insuring, which provides homebuyers with the best possible chance of avoiding land title problems. But, title difficulties can and do occur, and members offer both Owner’s and Lender’s title insurance policies as effective safeguards.
Click here to visit the ALTA website.
About Stewart Title Insurance
Stewart (NYSE: STC) is a leading provider of real estate services, including global residential and commercial title insurance, escrow and settlement services, lender services, underwriting, specialty insurance and other solutions that facilitate successful real estate transactions. Stewart offers personalized service, industry expertise and customized solutions for virtually any type of real estate transaction, through our direct operations, network of approved agencies and other companies within the Stewart family. Through a focus on integrity, smart growth and conservative management, Stewart remains committed to serving our customers, innovating and improving to meet their needs in an ever-changing market.
Please click on the link below for more information:
WHY TITLE INSURANCE?
Owning real estate is one of the most precious values of freedom in this country. You want the assurance that the property you are buying will be yours. Other than your mortgage holder, no one else should have any claims or restrictions against your home.
Title insurance is issued after a careful examination of the public records. But even the most thorough search cannot absolutely assure that no title faults are present, despite the knowledge and experience of professional title examiners. In addition to matters shown by public records, other title problems may exist that cannot be disclosed in a search. Title insurance eliminates any risks and losses caused by faults in title from an event that occurred before you owned the property.
Title insurance is different from other types of insurance in that it protects you, the insured, from a loss that may occur from matters or faults from the past. Other types of insurance such as auto, life, or health cover you against losses that may occur in the future. Title insurance does not protect against any future faults, but does protect you from risks or undiscovered interests. Another difference is that you pay a one-time premium for a policy that remains effective until the property is sold to a new owner - even if that doesn't occur for decades.
What is a Lender's Policy?
A lender's policy, also known as a loan policy or a mortgage policy, protects the lender against loss due to unknown title defects. It also protects the lender's interest from certain matters which may exist, but may not be known at the time of the sale.
This policy only protects the lender's interest. It does not protect the purchaser. That is why a real estate purchaser needs an owner's policy.
What is an owner's policy?
An owner's policy protects you, the purchaser, against a loss that may occur from a fault in the ownership or interest you have in the property. You should protect the equity in your new home with a title policy.
What does an owner's policy provide?
- Protection from financial loss due to demands that may be charged against the title to your home, up to the cost of the title policy.
- Payment of legal costs if the title insurer has to defend your title against a covered claim.
- Payment of successful claims against the title to your home covered by the policy, up to the cost of the policy.
Why the seller needs to provide title insurance?
Any purchaser will need evidence that his investment in your property is free of title defects. The title insurance policy that you provide the purchaser is a guarantee that you are selling a clear title to your real estate, unencumbered by any legal attachments that might limit or jeopardize ownership. It will reassure your purchaser that he or she is protected from any risks or losses and could help you close your deal.
Why the buyer needs title insurance?
Without title insurance, you may not be fully protected against errors in public records, hidden defects not disclosed by the public records, or mistakes in examination of the title. As a result, you may be held fully accountable for any prior liens, judgments or claims brought against your new property. If this should occur, your title policy insures that you will be defended at no cost against all covered claims up to the amount of the policy.
How much does title insurance cost?
The insurance commission approves and controls the premiums for title insurance policies. The premiums are paid only once and the cost depends upon the purchase price of the property and the policy amount must be equal to the purchase price.
What does title insurance protect from?
- Fraud
- Adverse possession
- Rights of divorced parties
- Deeds by minors
- Undisclosed Heirs
- Errors in tax records
- False affidavits of death or heirship
- Probate matters
- Deeds and wills by persons of unsound mind
- Conveyances by undisclosed divorced spouses
- Forfeitures of real property due to criminal acts
- Deeds by persons falsely representing their marital status
- Documents executed by a revoked or expired Power of Attorney
- Defective acknowledgements due to improper or expired notarization
- Mistakes and omissions resulting in improper abstracting
- Forged deeds, mortgages, wills, releases and other documents
- False impersonation of the true land owner
After renting a home for a while, most people think the most logical next step is to buy a home. While this may a good next step for some, buying isn't always right for everyone.
Renting vs Buying a Home
If you've been wondering whether you're ready to make the move from renting a home to buying a home, there are quite a few things to consider. There are plenty of pros and cons for each option, but it's also very important that you look at your current standing and how this affects your chances at homeownership. To figure out which option makes the most sense for you, check out this information.Take a Look at Your Finances
One of the biggest arguments in favor of buying a home is that renting is simply a waste of money. People love to say you're throwing your money away because it's not going towards anything that actually belongs to you. While this may be true, not everyone is as financially stable as is ideal for buying a home. If you're still working towards paying off your debts, if you don't have enough saved up for a down payment, or if you don't have much in savings to fall back on, renting isn't a bad option. Renting now doesn't mean you'll be stuck renting forever, and can actually be the perfect option while you improve your financial standing.Look for Stability
Stability may seem like a weird concept to bring up when talking about buying or renting a home, but it's a very important one. This doesn't only refer to financial stability, although this helps a lot when looking for a home. Stability also refers to your time at your current job and your future plans. If you haven't been at your job for a long time, you may want to rent while you wait to establish your position there a bit better. It's also important that your future plans are clear. Buying a home may not be the right choice if your near-future plans include moving to another city or state. As a homeowner, you should plan to stay put for at least the next five years but ideally longer than that. This will ensure your investment is worth it and will help you avoid the hassle of reselling a home since this can be quite the challenge.What Can You Afford?
Buying a home just to buy a home is never a good option. Instead of throwing your money at something simply because it's a home and you can afford it, take your time deciding what you need. If what you need realistically falls under your budget, go for it! If you aren't in a position where you can currently afford what you and your family need and want, you're better off renting while you save up. You will have more opportunities to buy in the future, so don't jump the gun. If you've decided you're ready to take the dive into homeownership, don't forget to purchase title insurance in Fort Myers at closing. Title insurance has plenty of benefits, but if you don't know what they are, don't hesitate to contact Schutt Law at (239) 540-7007. Their title insurance experts will be happy to answer all of your questions.Make a Decision for Yourself
Another thing to avoid is buying a house just because you can. Oftentimes, people feel pressured into buying a home simply because they can afford it. Avoid falling into it because of peer pressure and instead, really take the time to consider your needs and wants.Make It Your Own
A rental often comes with tons of limits. In many cases, you can't make the home all your own because your landlord will have rules against painting the walls, changing the flooring, and even on putting nails in walls. This can often make your house feel like less of a home and more of a temporary place. After some time, this can get tiring. If you're ready to make a home, moving away from renting is a great option.Home Maintenance and Repairs
While you can customize a home (almost) as completely as you please when you buy it, homeownership also means more responsibilities. As you enjoy the benefits of being able to make more choices about what your home looks like, you'll also have to take care of maintenance tasks and repairs as they come up. If you don't have the time for such things or if you simply don't want to be burdened by repairs, renting and having a landlord who takes care of all of this may be the best choice for you.Purchase Title Insurance in Fort Myers
Before closing on a home, be sure title insurance in Fort Myers is part of your deal. To learn all about the benefits of title insurance, contact the title insurance experts at Schutt Law. Give them a call at (239) 540-7007 to learn more.12601 New Brittany Blvd
Fort Myers, FL 33907
Phone: 239.540.7007
Fax: 239.791.1080
