1304 East Empire St. Bloomington, IL 61701 (309) 585 - 0714FacebookLinkedIn | Patrick J. O'RourkeLinkedIn | Amanda Willette

Title Insurance FAQ's

Title Insurance FAQ's


Title Insurance FAQs


At Patrick O’Rourke Real Estate Attorney’s office, we help hundreds of homeowners each year in securing quality title insurance while purchasing a new home or property. It is one of our great joys each day to see the happiness on each person’s face after they leave the closing table and the realization sets in that the home they’ve been looking at and dreaming about for weeks & months is finally theirs. We help come alongside these happy new homeowners to proactively ensure that no complications come from the title to their home having a poor history that wasn’t discovered before closing. Although this situation is rare, not everything is always disclosed to the public records office, and you will want to be protected if anything should arise down the road.


Get in touch with Patrick O’Rourke, expert real estate attorney in Central Illinois


Most Common Questions Related to Title Insurance

Below, we’ve highlighted a few of the most common questions we get asked with each homeowner. Have a question not included below? Don’t feel bad! Contact our office and we will help answer your question quickly & be sure to add it to the list below!


What is Title Insurance?

Title insurance is proactive coverage for realized defects in the title prior to you taking over ownership of the real estate property. Simply put, title insurance provides protection if the public records office, realtors, lenders, and real estate attorneys all missed something or a situation wasn’t presented at the time of closing.  


Why do I need Title Insurance?

Often lenders will require title insurance to be paid by the borrower to protect their interests down the road. They performed credit checks and financial situation of you and your spouse, not an unknown third party that may have a rightful claim to the property or an unknown lien from a contractor that changes the financial formula of your budget.  


What does Title Insurance cost?

Some states have regulations that set a standard title insurance cost. Other times, the title insurance company will base the cost on a percentage of the value of your home. In either case, be sure to speak with your title insurance company beforehand to get a better understanding of what it will cost you. Title insurance is always paid in full at the closing table.  


Can I opt out of Title Insurance when purchasing a home?

No. If you are borrowing money to pay for the property, your lender will surely require you to pay for a lender’s policy. They want to make sure their interests are protected and the loan will continue to be repaid during the agreed upon period.  


What if something goes wrong? Will they take my house?

No. If anything should arise or if someone comes knocking and says they have a claim to your property, immediately contact your title insurance company’s office and explain to them the situation. You will want to get together with them as soon as possible so they can begin sorting everything out for you.


Can I compare deals and shop around for better rates?

Depending on the state, you may shop around for better deals as some states allow for open competition. When shopping, you will find that most title insurance companies have premiums that are very similar. Be sure to select a real estate attorney that you feel comfortable working with and one that explains everything clearly, not simply the cheapest option.


If I have Title Insurance, do I still need to get homeowner’s insurance?

Absolutely. Title insurance and homeowner’s insurance are two completely separate forms of coverage. Title insurance protects against previous risks while homeowner’s insurance protects against future risks. You will not purchase homeowner’s insurance from the same company where you purchased title insurance. 


Table of Contents


What is Title Insurance & Why Do I Need it?

What Does it Mean if My Property Has a Lien Against it?

The 2 Types of Title Insurance: Lender vs. Owner

What Exactly Does Title Insurance Cover?

How Much Does Title Insurance Cost?

How is Title Insurance Different From Other Types of Insurance?

Title Insurance FAQ's

What to Expect at Closing


Brought to you by: 

Patrick J. O'Rourke - Attorney at Law

(309) 585-0714

The Best Real Estate Attorney in Bloomington-Normal, Champaign-Urbana, Peoria, Springfield, and Central Illinois


Home | About | Resources | FEE | Contact | Sitemap
(c) 2014 Alliance Land, Inc. All Rights Reserved.