Title insurance protects your ownership rights of the property against any future claims due to defects in the prior chain of title. This is sensible when you are investing in a piece of property that is decades old, but how about a brand-new construction? In the following paragraphs, we are going to discuss why you still need an owner's policy of title insurance even in case your property is brand new.
Title Insurance for Newly Constructed Property
Having an owner's policy of title insurance coverage is essential no matter when your property was constructed. When you develop a new piece of property, you may assume that you're the first owner from the property. However, it's quite likely that there have been several prior owners from the property – whether or not they owned the unimproved land or a prior physical property that was torn down. If there has been any prior owners from the land on which you are building your property, that means there is the potential for title defects. An owner's title policy will cover you for any of those defects.
In addition to that, when you are coping with newly constructed property you have to be cognizant of the builder. We've encounter situations where a builder didn't pay their supplier or subcontractors. As a result, the subcontractor placed a lien on the property.
Minnesota Commercial Title Insurance
Title insurance is an important element of any commercial transaction. It's equally important to work with a title company you can trust. At Commercial Partners Title, we have decades of experience facilitating commercial transactions and title insurance for clients across the nation. We bring that level of data and expertise to the table for every and every one of our clients. We are known as experts in commercial transactions across the United States. Reach to our commercial title experts today at our Minneapolis office to obtain started with your commercial transaction.