Purchasing vacant land is associated with many inherent risks that could affect your ownership or be a cause of loss for you in the future. Title insurance helps you protect yourself at the time of purchase and in the coming future from any closing costs that the previous owner might have concealed from you.
Let’s discuss this further, explaining the risks associated with vacant land! Whether you’re already a property owner or planning to buy one, the information below will help you understand why you need title insurance for vacant land!
Do You Need Title Insurance for Vacant Land?
The simple answer is ‘yes.’ Buying title insurance for vacant land lets you free of the worry of a prevailing uncertainty about all the closing costs associated with it. It avoids any future legal trouble that you may encounter due to the previous owner’s liens and debts that they did not disclose to you at the time of purchase. In the absence of title insurance, such liens and debts could pass onto you to pay them.
A common assumption that the deed to vacant land guarantees your ownership is wrong. It merely shows the transfer of the ownership. With land purchase, all the outstanding taxes, rent, or any misfiled documents are also inherited. You are still vulnerable to the unwanted liens and claims that could come out of nowhere even with the deed in your hands.
Therefore, you need title insurance for vacant land to protect yourself early from all the costs associated with the land at the time of purchase and in the coming future. The best part about title insurance is that you’ll be covered with the one-time payment, and rest assured as long as you or your family owns the land.
For more information on title insurance for vacant land, contact JD Title and protect yourself against any hidden risks at the time of purchase. JD Title offers custom title insurance services for commercial and residential property transactions!