Title insurance is not just one of those things that guarantee title at a real estate closing. It covers all sort of physical aspects to the property as well. To make a claim, however, is rare in the extreme. Sure, it can protect from unknown leans from workers on new construction, but that too is not a physical attribute of the property. What could go wrong with the land itself?
Remember that real estate runs from the center of the earth through to outer space. A survey may tell you what’s on the ground, but it will not tell you what’s above or below. No one is allowed to encroach or run through your property, and none are ever expected. Even as rare as title insurance claims are, and they are rare, those that address the land, itself, are even rarer. Except for me.
It’s rare to get stuck with even one or two claims in a career. Most developers get none.
Title Insurence Claims I have prevailed on include:
- Overhead Utility Encroachment
- Below grade private utility encroachment
- Below Grade Footing Encroachment
- Inter-spliced property
- Fence encroachments.
- Building Overhand Encroachment
- One Big Deep old tunnel
These are just 7 of the 10 title claims that I’ve had to suffer, but been paid for. But, as they stay, the more that tries to kill you, the more that makes you stronger – or at least a bit smarter. The fact is that there’s no way to predict a title claim. Title insurance companies protect against the most unlikely property issues, as opposed to also unlikely document issues.
Property issues are as unique as each property is on earth. There’s no way to know what you may run into. The only good advice is to look out below and look out above. Problems may have a chance to come at you from the most unusual places. Good luck.