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Lorraine Said:

Why does the seller buy the buyer title insurance?

We Answered:

Title insurance protects the seller.

When you sell property you normally give a deed. With this deed you make guarantees to the buyer. If there is a flaw in the chain of title they would come back to you to clear it up. The title company would step in for you.

Carol Said:

What is Title Insurance and why do I need to spend $1,000 on it?

We Answered:

This will guarantee there are no old liens on the property, and old property taxes are paid.

Without it, you could discover that property taxes from 1991 have not been paid, and you are liable, or that a new furnace was installed in 1995 and never paid for and there is a lien on the house,or the owner dies in 1992 and a son who was left off the will is now contesting the will and wants his half of the property.
If things like this happen, you just let the title insurance co handle it. If you don't have title insurance, you're in deep trouble.
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