Title Insurance For Your Huatulco Real Estate & Properties


Title Insurance

Title Insurance is one of the most important tools used to protect a real estate investment. A title insurance policy safeguards the insured from loss on a specific piece of property. By purchasing title insurance, you make sure you hold clear title to your property, which is especially important in Mexico. When you purchase a property you are purchasing a bundle of rights referred to as the title, these rights can be limited, threatened or even revoked by outside claims. A title insurance company will research the history of your title and a title insurance policy will protect and defend your rights.

Title insurance policies are highly recommended, in fact many lenders will not provide financing without them. Not all title insurance policies are equal, though they may seem similar, be sure that the policy you purchase is on the land not just the Fideicomiso (Bank Trust). A title insurance policy is purchased for a one-time fee and will protect the property owner for the term of ownership and in some cases even after the property has been sold. Title insurance rates range from about $5 to $7 per $1,000 of coverage ($5,000 to $7,000 USD per million of property), depending on the value of the property and the company you employ. In Mexico, escrow is offered through title insurance companies acting as a trusted third party, meaning that they will not release your money until the title has been transferred properly and all deal points have been satisfied. When purchasing property in the United States, most Banks and Mortgage companies require title insurance and escrow as standard procedure prior to obtaining a loan.

	What should a title insurance policy provide? • Complete investigation of title history • Payment of legal expenses associated with defending the title • Compensation for valid claims up to the value of the policy What should a title insurance company insure against: • Fraud • Errors and omission • Third party intervention • Government claims