The 7 Most Common Mistakes Utah
Buyers Make with Residential Titles
Hi, I’m Angie Simmons, founder and CEO of Prime Title Insurance Company, proudly serving Utah. I’ve spent over 18 years helping Utahns navigate the complexities of real estate transactions, and I’ve seen it all when it comes to residential titles. Buying a home in Utah is a major investment, and getting the title right is crucial. Unfortunately, many buyers make mistakes that can lead to legal headaches and financial losses. Let me walk you through the seven most common mistakes Utah buyers make and how you can avoid them.
Not Conducting a Thorough Title Search
Skipping a thorough title search is like buying a car without checking under the hood. You need to know if there are any liens, encumbrances, or disputes attached to the property. Overlooking this step can leave you with unresolved legal issues like unpaid taxes or mortgages.
Angie’s Advice to Friends: Always insist on a detailed title search from a reputable Utah title company. This will give you peace of mind and ensure you’re not inheriting any hidden problems.
Ignoring Title Insurance
Title insurance is your safety net against defects in the property title. Some Utah buyers skip it to save money, but that’s a risky move. Without it, you could lose your investment if title issues surface after the purchase.
Angie’s Advice to Friends: Invest in title insurance. It’s a one-time fee that can save you from potential legal and financial troubles
Overlooking Encroachments and Easements
Encroachments and easements can affect your property’s value and usage. An encroachment happens when a structure extends onto your property, while easements give others the right to use part of your land.
Angie’s Advice to Friends: Have a survey conducted and review the title report for any encroachments or easements. Understand how they may impact your property rights and future plans.
Failing to Understand Covenants and Restrictions
CC&Rs (covenants, conditions, and restrictions) can dictate everything from building structures to the color of your home’s exterior. Ignoring these can lead to conflicts with your homeowner’s association or neighbors.
Angie’s Advice to Friends: Review the CC&Rs thoroughly before purchasing. Ensure you can comply with the rules without sacrificing your lifestyle or future plans.
Not Verifying the Legal Description
The legal description precisely defines your property’s location and boundaries. Errors here can lead to disputes over property lines and ownership.
Angie’s Advice to Friends: Carefully review the legal description in the title documents and compare it with the property’s physical boundaries. Hire a professional surveyor if necessary.
Assuming All Title Companies Are the Same
Not all title companies offer the same level of service. Some might cut corners or lack the expertise to handle complex title issues.
Angie’s Advice to Friends: Do your homework and choose a reputable Utah title company with a solid track record. Check reviews, ask for referrals, and ensure they have experience with the type of property you’re purchasing.
Neglecting to Address Title Issues Promptly
If a title search reveals issues, some buyers delay addressing them, hoping they’ll resolve themselves. This can lead to bigger problems down the road.
Angie’s Advice to Friends: Act promptly to resolve any title issues before closing. Work closely with your real estate agent, title company, and possibly a real estate attorney to clear any defects.
Buying a home in Utah is a complex process, and ensuring a clear and marketable title is crucial to protecting your investment. By avoiding these common mistakes, you can navigate the title process more smoothly and enjoy your new property with confidence. Remember, partnering with a reputable Utah title company, such as Prime Title Insurance Company, can provide the expertise and peace of mind you need throughout your home-buying journey.
My friends please reach out to us at Prime Title Insurance Company for any questions or assistance. We’re here to help you every step of the way in your Utah real estate journey!