Title Insurance for Purchasers - what you need to know
We offer First Title Insurance to all our Purchaser clients. Title Insurance is different to Building Insurance, which the client needs to take out for themselves. Title Insurance is arranged by your Conveyancer and is a one-off payment due at settlement, which covers you for various scenarios while you are the owner of the property.
What is Title Insurance and what does it cover – Title Insurance covers you if:
The neighbour comes knocking to say the fence is in the wrong place
The neighbor has built a structure that is encroaching on your land
A structure on your property has been built encroaching on the neighbor’s property
The council says it has come to their attention that there has been some work or a structure on the property that should have had council approval but does not – in this scenario you would need to apply to the council in retrospect for approval and may be required to take down the whole structure and rebuild or modify the structure
First Title Insurance covers all these scenarios and more.
There are many examples of claims which have been made under First Title Insurance, including:
A purchaser who, after settling their property, was made aware that their backyard shed had never received final building approval. Their local council issued a notice to rectify. It cost the owner $30,000 which was covered by the Title Insurance
A homeowner who received a notice from their local council four years after purchasing, notifying them that their two large verandas and a shed were all illegal. The owner spent $48,000 rectifying this, which was covered by their Title Insurance
A purchaser who became responsible, after purchase, for 36-year-old sewerage and building works defect. Title Insurance paid $75,000 in rectification costs
Our team of Registered Conveyancers would be delighted to answer any questions you may have about Title Insurance, or anything else related to your property purchase or sale. We invite you to contact us today.
Article was written by Samantha Phillips | Images by Pexel | Edited by TD ツ
Please note that the information contained in this article is of a general nature only and does not constitute legal advice. Tuckfields does not take responsibility for any errors or omissions obtained from the use of this information.