Most buyers and sellers have no idea what title insurance covers and what to watch for in a preliminary title insurance. Amerititle has a great site to explain Title services and insurance. Below is what it covers, but do check out their site and see what other items you should be aware of.
- False representation of the true owner of the property
- Forged deeds, releases or wills
- Instruments executed under invalid or expired power of attorney
- Undisclosed or missing heirs
- Mistakes in recording legal documents
- Misinterpretation of wills
- Deeds by persons of unsound mind
- Deeds by minors
- Deeds by persons supposedly single but in fact married
- Liens for unpaid estate, inheritance, income or gift taxes
- Fraud
Obviously if you do not have a title company many of these issues may never be known unless you use a title company. Central Oregon has several title companies, but you should always use a local title and escrow company. A local company has access to the local records which are necessary to do the job efficiently.