SCHUTT LAW FIRM, P.A.
Phone: 239.540.7007
Title Insurance
09/21/2015

Advantages of Buying a Home Later in the Year

Summer is no doubt the high season for residential real estate activity. But if your timing as a potential homebuyer does not coincide with the traditional high season, do not despair-there are still excellent opportunities out there year round. In fact, buying a home in the fall or winter seasons can mean the buyer has some advantages. What are they? Read below to find out.

Houses Last Longer on the Market

In the fall and winter months, homes for sale tend to sit longer. On average, they take about 12-13 days longer to sell, which means as a buyer you probably won't be under pressure to make a decision immediately.

Sale Less Seller Oriented

In the high season, sales move quickly, and sellers are likely to receive multiple bids on their homes. This provides them with all the leverage, and allows them to ask that the buyers make concessions that are not in their best interest. When the market is calmer, buyers will find that this is no longer the case. For example, a buyer is much less likely to have to waive a home inspection in order to win a bidding war. This way, the purchase and life altering investment of buying a house can be carried out with more peace of mind.

Money not the Only Factor

The reality is that many of those who sell a home in the off-season do so out of necessity, due to a career change or other similar circumstances. As a result, there is more to consider than just getting the absolute best price for their home. This can help a buyer reach a fair agreement and a price that is perfectly in line with the market.

Title Insurance in Fort Myers, Florida

Whether you are buying a home right now, or are considering making a purchase later this year, at Schutt Law Firm we can assist with all your closing needs. We specialize in making sure our clients obtain a title insurance policy here in Fort Myers that is just right for them. Call us today at (239) 540-7007 and let us take charge of properly closing your real estate transaction.
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 heirshipProbate 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