27 Ways You Can Lose Your Knoxville Home If You Don’t Have Owner’s Title Insurance

Owning a Knoxville home is one of the largest investments you will make in your lifetime. You protect your home with homeowner’s insurance, take care yearly maintenance, and keep your home in tiptop shape to maintain your investment.

But, what about protecting your ownership interest?

At closing, you would have been offered owner’s title insurance. Like many Knoxville buyers, you may have shrugged off the cost and underestimated the importance of owner’s title insurance.In reality, owner’s title insurance is a very important part of buying a home because it protects your ownership interest should any claims against your ownership interest ever arise.  If you have a loan on the property, you’ll be required to buy lender’s insurance, but that only protects the lender. Owner’s title insurance is a one time premium paid at closing and it protects your ownership interest so long as you and/or your heirs own the property.

If you’re still not convinced about the importance of title insurance, here are 27 ways you can lose your home if you don’t have owner’s title insurance.

1. Forged deed, mortgages, releases
2. Property deeded by person who is insane or mentally incompetent
3. Property deeded by minor
4. Deed following non-judicial foreclosure, where procedures were not followed
5. Deed signed under falsified power of attorney
6. Deed signed with expired power of attorney
7. Deed delivered after the death of a grantor or grantee, without the consent of the grantor
8. Property deeded by estate where not all heirs joined in
9. Deed from non-legal entity
10. Deed signed by mistake (grantor didn’t know what was being signed)
11. Deed signed in undisclosed divorce where spouse signs as sole heir
12. Ineffective release of prior mortgage due to bankruptcy
13. Ineffective release of prior lien or mortgage given by misunderstanding or mistake
14. Deed recorded improperly so it’s not findable in the local register’s offie
15. Federal or state tax lien recorded, but undisclosed by seller
16. Pending lawsuit affecting title of the property
17. Environmental lien recorded, but undisclosed by seller
18. Undisclosed easements that are of record
19. Errors in tax record (mailed to wrong party or crediting payment for wrong property)
20. Release of tax or assessment liens by mistake, which later results in reinstatement against property
21. Ambiguous covenants or restrictions
22. Misinterpretation of deeds, wills, or other instruments
23. Patent defects in recorded instrument (i.e. failure to include notary acknowledgement or legal description to deed of trust)
24. Forged notary
25. Forged witness acknowledgement
26. Deed not properly recorded (i.e. wrong county or missing pages)
27. Erroneous or inaccurate legal description

Are you thinking about buying a Knoxville home this year? Please let us know if there is anyway that Knoxville Home Team can assist you. Rick can be reached at 865-696-9002 or via email at [email protected]. Kati can be reached at [email protected]. Also, be sure to check out our Knoxville Home Search Page.