In essence, a title insurance policy protects your ownership rights to a property. In the event that a claim is brought against your property due to a defect in title, your title insurance policy will protect your rights to the property. Many people ask if title insurance is necessary with newly constructed property since the history of title is likely not as complex as a 100-year-old property. In this article, we are going to discuss the importance of commercial title insurance for newly constructed real property.
The Importance of Title Insurance for Newly Constructed Property
Owner’s title insurance is an important safety net to have no matter when your property was constructed – even if you just own raw land with no constructed property on it! While you might assume that you are the first owner of a given property, it’s more than likely the case that there is a history of ownership. And if there have been previous owners, that opens up the door for potential defects in the chain of title. Having an owner’s title insurance policy protects you from these potential defects.
With newly constructed property, it’s also important to be aware of your builder. If your builder is not paying their subcontractors, for example, they may place a lien on the property. All of these issues can be addressed and cleared up by your title company.
Contact a Commercial Title Company
Commercial title transactions can be complex so it’s important to have a skilled title company by your side to help you through the ins and outs of the process. At Commercial Partners Title Company, we have decades of experience working in the commercial title industry. We have the skills and expertise needed to ensure your transaction is a success. Contact us today to learn more about our services and see how we can help with your next commercial transaction.