In an ideal world, you could trust everything the seller says about a property, but sellers are human. They may forget things. They may never have known other things in the first place. And sadly, occasionally some even deliberately withhold or obscure information. While these problems aren’t a big deal for a $2 garage sale blender purchase, a real estate transaction is much more significant, both financially and emotionally. This is where the title insurance industry comes in.
This overview video, provided by Lawyers Title, is a good description of how title insurance works, the sorts of things that title insurance companies investigate on your behalf, and why it’s necessary. Watch it as a refresher, share it with your client as an explanation, or just keep it on hand as a resource for when you get asked the tough questions.