Q: Is transferring a title to real estate different than transferring a title to a car?

A: Yes. Because land is permanent while the usage of land and the rights to use it can change over the years.

Q: What exactly is a title search?

A: A title search provides a detailed and extensive examination of historical and public records concerning a particular property. These records include deeds, court records, property and name indexes and many other public documents.

Q: Do I need title insurance?

A: Yes. You need two types of title insurance: a lender’s policy and an owner’s policy.

• The lender’s policy is required for a mortgage. It financially covers the amount of the loan and provides protection to the financial lender.
  
  
• The owner’s policy protects the landowner against any title loss. It ensures the value of the property.
  
  
• With title insurance if a claim is made against the title, the underwriter must pay any and all costs associated with the defense against the challenge, and if unsuccessful in that defense, reimburse the landowner for any reduction in the value of the land.

Q: Is title insurance the same as homeowner’s insurance?

A: No. Homeowner’s insurance typically provides protection against theft or damage. If a fire destroys your home, you can use homeowner’s insurance to rebuild and buy new possessions. If the title to the land fails, you could lose the right to inhabit your home, as well as the land it occupies.

Q: How much title insurance coverage do I need?

A: The lender will require the lender’s policy to cover the amount of the mortgage.

The homeowner’s policy should cover the total purchase price of the home.

Heartland recommends that both policies cover the total purchase price of the home.

Q: What does title insurance cost?

A: It varies. Charges for title insurance vary in different parts of the country. Refer to the rate chart for an approximate cost of title insurance for the value of your home. We guarantee you will be charged the lowest rate permitted under our underwriter’s filing in Pennsylvania.

Q: Are there monthly premiums for title insurance?

A: No. You pay for an owner’s policy for title insurance only once. There are no monthly premiums.

Q: Do I have to renew my title insurance coverage?

A: No.

• The lender’s policy extends until the mortgage is paid in full.
  
  
• An owner’s policy lasts for as long as you or your heirs retain an interest in the property.

Q: Do I need title insurance during refinancing?

A: Yes. From the lender’s standpoint, a refinanced mortgage is actually a brand new mortgage – complete with the same risks that may have been present originally. During the refinance process, your original mortgage is paid off – and your existing lender’s title insurance policy is rendered null and void. However, if you purchased an owner’s policy of title insurance at your original closing – that policy will remain in effect as long as you or your heirs own the property.