When you are looking at commercial title insurance, you will find a variety of traps and pitfalls that a person may fall into if they're not well-versed in the process. In the following paragraphs, we are going to discuss a few potential pitfalls you may encounter through the course of the commercial title transaction.
Opting From an Owner's Title Insurance Policy
There are two basic types of commercial title insurance – the lender's policy (which protects the lender) and the owner's policy (which protects the owner). The lender's policy is required, but the owner's policy isn't. As a result, some people opt out of the owner's policy to save just a little money. However, opting out of owner's title insurance can return to haunt you if a defect in title allows someone to bring a title claim against your property. Purchasing an owner's policy will help you avoid these headaches.
Not Emailing Your Title Company
Each title insurance policy is unique to the property it insures. It is important to communicate directly together with your title company early along the way so they can tailor the title insurance policy and any necessary endorsements to fit your specific needs.
MN Commercial Title Insurance Underwriters
When you're closing on a commercial real estate transaction, it is important to have a skilled title company at the side through the process. At Commercial Partners Title, we have been working with clients through the United States on their commercial transactions. If you are in need of an owner's policy of title insurance, we are your go-to experts. Reach to us today to discuss the details of the next commercial transaction. Our team can be reached at our downtown Minneapolis office.