The most important, yet commonly overlooked, part of buying a home is ensuring that you receive a clean title. If you have a title that is not clean, you could be held responsible for claims against the property that are related to incidents that took place prior to your purchase. For over 25 years, one of the leading providers of title insurance and other title services to the US real estate market has been Nationwide Title Clearing. The company is one of the top grossing title insurance providers and has strong relationships with almost all of the top mortgage lenders in the country. Earlier this year the company announced that it was revamping its system to ensure that they are able to provide a more valuable service than ever before.
Whenever a new home buyer or lender enters into a new purchase or mortgage they are taking on a certain level of risk that there is a title defect that is not known about. Part of the risk is that some title claims could date back to before records were even made electronic. In the most serious of all situations, the title issue could actually end up priming the mortgage lender, which puts both the home buyer and bank at serious risk.
In an effort to reduce the risk that comes with title defects, Nationwide Title Clearing is working to build a system that will ensure that any claims, regardless of their age, are made clear and known about. The new system that they are building will work by linking a greater amount of systems together ensuring that all federal, state, and local claims are known to all parties at the same time. In the end, a buyer of the property will receive a full report outlining any concerns.
While the report is very helpful, Nationwide will still continue to stand behind their claims. The company will provide a title insurance policy that will protect the buyer and the bank in the event that some title issue arises that was not caught by the report. This will provide all parties involved even more assurance that they are making a sound investment.