What is the Title in Real Estate? How is it Different from a Deed?

A title is the legal form which states that you, the purchaser, now have rights to an entity. In real estate, the title refers to the ownership of the property and that you have rights to use it. These rights can indicate complete acquisition or a partial interest. When you have a title on a property, you are able to sell your portion but never more than what you legally own.

A deed is the set of legal documents that transfer the title from one person to another. As the vehicle of title transfer, deeds must be written out and documented in a courthouse or assessor’s office in Florida.

What is Title Insurance in Real Estate?

When a home or commercial property is being closed on in Florida, potential title defects may arise. A title search will be conducted through local property records and common defects that arise are:

  • Third-party claims to the title of the property. An example of this may be a dispute of ownership by two different heirs who inherited the property in a will. Matters may be further complicated if there is more than one will.
  • Fraudulent claims against the property or falsified signatures on a purchase agreement or deed.
  • Liens for unpaid property taxes.
  • Liens for contractors that have outstanding balances for work on the property.
  • Clerical errors in courthouse documents. Even a small typo can cause title claim problems.

If any of these or other problems arise in regards to the title of your new property, you may become liable for these liens and other defects, costing you significant money and time.

Title insurance acts as a protection against these defects and benefits the buyer, seller, and any lending agency that is involved in the transaction.

How Can a Florida Real Estate Attorney Help Me With Title Insurance?

Title insurance is a reasonable and cost-effective way to protect yourself from unforeseen issues with the title of your new property. If you are purchasing a Vero Beach, FL commercial or residential property with the help of a mortgage or other loan, you should expect the lender to require title insurance. In Florida, title insurance rates are monitored and covered by law.

At Block & Scarpa, we are expertly informed in the policies and laws regarding title insurance in Florida. We will make sure that any policy choice purchased covers potential risks involved with your property.

Securing Title Insurance for Real Estate in the Treasure Coast

Block & Scarpa has decades of experience in real estate law on the Treasure Coast. If you are looking for a consult on title insurance or any other aspects of real estate legalese and procedure, contact us today or give our offices a call at 772-794-1918.