 | Jeff Otto is Branch Manager of Lawyers Title Insurance Corporation which is a member of LandAmerica Financial Group, Inc., a premier national provider of title insurance and settlement services. Lawyers Title has been in the local marketplace since 1955. Jeff has been with Lawyers Title for 34 years, the last 24 right here in Wichita. You may contact Jeff at (316) 682-9600 x 201 or by e-mail at jotto@landam.com |
Real Estate
2006-03-01 10:52:00
Is title insurance really necessary?
ANSWER:When you buy a home, you want to be certain it's safely yours. But even the most diligent search of the public records could fail to disclose a number of title defects. Things such as a forged will or deed, a title transfer by someone under age, fraudulent impersonations, secret marriages, undisclosed heirs, invalid divorces, a married person conveying real estate without the knowledge of his or her spouse, or false affidavits are just a few of the problems that can suddenly surface. Without the protection of title insurance, you'll be in jeopardy of losing your investment. The following are just a few examples of how this could happen to anyone.An elderly lady charmed the socks off of a family called the Shanks. Impeccably mannered and speaking the language in a pretty fashion, she explained that her country cottage home had been unoccupied for some period of time, so she was letting it go at an irresistible price. The Shanks jumped at the offer, only to find out later they were the unwitting victims of a classic forgery caper. Very cunning and charming, the old woman had learned that the true owners of the sold country cottage home were living somewhere over in Europe. She forged a deed to the property, had it recorded in her own name, and proceeded to perpetrate her scam on the first family she could find who were looking for a deal that looked too good to be true...and like usual, it wasn't true. Her low asking price assured her a quick sale. By the time the Shanks were made aware of the scam, the charming and cunning little old lady was long gone. Thank goodness for the title insurance policy issued on the sale...the loss was mitigated to everyone's satisfaction.The homeowner was a widow lady with six sons and a couple of daughters. One of her sons was the captain of a fishing vessel, and had not been heard from for many years. Presumed lost with his boat at sea, he was declared by a court legally dead. When his mother, the widow lady, passed away, her seven remaining offspring inherited her home. It was an attractive house, and so they put it on the market at a below-market price to facilitate its sale and consequently, the settlement of the estate. Recognizing a bargain when they saw one, the Morgan family bought the property. They were delighted with their new home. Right up until the long lost sea captain returned from the dead. It turned out that the widow's missing son had decided years ago to just leave and start a new life in a new part of the world. When the ex-sea captain eventually returned and found that the house had been sold, he promptly got a lawyer and filed a claim against the Morgan family for his rightful share of the property. His rightful share of the property? But he's been declared dead! How can...? Thank goodness for the title insurance company working through the problem and saving the day for the Morgan family. More next month...
