Quote:
Originally Posted by Magnuminsp440  I went to get mine, just to be sure.
It says, "Attorneys Title Insurance Fund" on the first page. At the very top of the page, it says "Owners title insurance policy".
There are four pages. It has a seal on it and the president of the funds signature.
I could scan a copy of it if you need me to. |
Having been a title examiner for over 15 years, let me clear this up for you guys.
A title policy is issued to insure there are no title defects, liens or other outstanding issues on you property. There are 2 different policies issued. The Owners Policy which is issued at time of purchase, insures the only the Owner of the property as long as he owns it. The Lenders Policy insures the only the lender who holds the mortgage is in first lien position and is issued at time of the loan, if you refinance the new lender will get a new Lenders policy insuring their Lien, even if it is the same lender. Once the mortgage is paid then Lenders policy is no longer valid.
The clause to provide lenders title policy is standard in a lot of Modifications and there is nothing required of the borrower, the lender will get a an update on the title to check for any liens and modification to the existing loan policy if they want one.
