Title Insurance for New Construction
 

Does anyone know from whom the builder purchased the Fenney land?

Would the builder ensure the title was clean?

Why would I buy title insurance? Piece of mind, there has to be a better reason.

NOTE: There is no lender so buying it is optional.

Peace of mind would be the only reason. I was told by a title person that there is lottle chance of a title problem because most of the land here, before the villages, was rarely sold.

I believe that land was owned by another developer before The Villages purchased it. I understand that developer became insolvent. However, I agree, would doubt there would be an issue but you need to determine what will give you peace of mind.

I'm buying with a mortgage and it's still optional. Wondering how many people opt out. If it was a few hundred bucks, it's certainly worth the peace of mind. But a couple grand or more, I just wonder if it's really necessary. The fact that the bank, Citizens First no less, still lets it be optional, makes me think there is a very low chance of it being necessary.

Good info. Thanks

All true, but the Native Americans still think it is their land. If they ever win in court, they will take your house. Stranger things have happened.

We didn't take out the insurance and if the Native Americans ever win in court they would not get the land back and would most likely receive a financial settlement. But in any case, I doubt very much that I will still be around by the time any such case is settled so not worth the $2,000.00 cost of such a policy.

Bought three houses here 2 new, no insurance. Preowned yes.

I'm very cost sensitive, but I have always bought title insurance. I once purchased a house where the title seach revealed that the house had been sold previously without obtaining a divorced spouse's signature, who was the co-owner at the time. Luckily, the attorney was able to discover the error, locate the spouse, and get a waiver. Otherwise, I would not have received a clear title, and could have lost the house without title insurance.

Spent 50 years financing homes. Would never opt out of title insurance. Chance of loss very small, however if there is a problem , it could cost you complete title to the property $(?) In my opinion opting out would be , as the brits say, "penny wise and pound foolish".

When the first owner of a Villages house resells it the buyer would insist on a title policy. So how many titles have "failed" because of problems with the title passed by the developer to the first owner, then by the first owner to the second. Probably none so far.

Is that just a guess? How would you know? People make mistakes, and, without title insurance, you would have to go to court and sue whoever made the mistake.

If it happened here with any frequency, in the past, no doubt someone here would have heard about it and posted it around here somewhere. Doesn't mean it never happened or can't.

If it happened, you would only hear about it if the owner didn't have title insurance, because the title insurance company would handle it. Over the life of your house, title insurance is a lot cheaper than homeowners insurance, and if you need to use it, it will probably save the entire value of your house. That is why I always buy it.

Are you saying that the title insurance to protect the bank's interest in the property is optional, or just the owner's title policy? It is my understanding that the bank always requires a bank title policy, but that the owner's policy is optional. An owner's policy will only protect your interest in the property, so the bank doesn't care whether you buy it or not.