September 2025 - Sonic Title

Do You Really Need Title Insurance in Michigan?

Sep 30, 2025 DJ Peterson 0 Comment

When buying a home in Michigan, the process typically involves a lengthy list of expenses, including closing costs, inspection fees, loan origination charges, and more. Among these costs is title insurance, a term that may sound technical and optional to some buyers. You may wonder: Do I really need title insurance in Michigan? The short answer is yes—title insurance is one of the most important safeguards you can have when purchasing real estate.

In this article, we’ll explore what title insurance is, why it matters, how it works in Michigan, the costs, and whether you should consider it a necessary part of your home-buying journey.

What Is Title Insurance?

Title insurance is a type of indemnity insurance that protects homeowners and lenders against financial loss from defects in a property’s title. Unlike car or health insurance, which cover future risks, title insurance protects against past issues that may not have been discovered before the property changed hands.

For example, if there was a mistake in a deed, an undisclosed heir claiming ownership, or unpaid property taxes from the previous owner, these problems could threaten your ownership rights. Title insurance ensures you don’t bear the financial burden of these disputes.

How Title Insurance Works in Michigan

In Michigan, when you buy a home, the property’s title is searched by a title company before closing. This “title search” checks public records for liens, disputes, judgments, or ownership claims. While this process is thorough, it’s not foolproof. Errors in public records, missing heirs, or even forged signatures could surface later.

This is where title insurance steps in—it acts as a safety net against problems that the initial title search may not have uncovered.

There are two main types of title insurance:

Lender’s Title Insurance – Required by most mortgage lenders, this policy protects the lender’s interest in the property until the loan is paid off. It does not protect the buyer.
Owner’s Title Insurance – Optional but highly recommended, this policy protects you, the homeowner, for as long as you own the property.

Common Title Issues in Michigan

Michigan’s real estate market, like any other, has its share of potential title problems. Here are some common issues that title insurance protects against:

Unpaid Property Taxes or Liens – If the previous owner had unpaid taxes or contractors filed liens, the new homeowner could be responsible.
Clerical Errors – Mistakes in legal documents or public records can affect ownership rights.
Fraud or Forgery – A forged deed or signature in the property’s history could call ownership into question.
Boundary Disputes – Conflicting surveys or unclear property lines can create disputes with neighbors.
Missing Heirs or Claims of Ownership – Unknown heirs or parties claiming inheritance rights can challenge your ownership.

Without title insurance, resolving these issues could cost thousands in legal fees—or even result in losing your home.

Is Title Insurance Required in Michigan?

Michigan law does not require homeowners to purchase title insurance. However, nearly all mortgage lenders require a lender’s title policy before approving financing.

As for the owner’s title insurance, it’s technically optional but strongly encouraged. Skipping this coverage may save you a one-time fee at closing, but it leaves you exposed to significant financial risks.

Think of it this way: you’re making one of the largest investments of your life. Owner’s title insurance is a relatively small cost that protects you from losing that investment to an unexpected legal claim.

Cost of Title Insurance in Michigan

One of the most frequently asked questions by homebuyers is: How much does title insurance cost?

In Michigan, title insurance is a one-time fee paid at the time of closing. Unlike other types of insurance, there are no annual premiums. The cost is usually based on the home’s purchase price or the amount of the mortgage loan.

For example:

A $200,000 home might cost around $1,000–$1,500 for both lender’s and owner’s policies combined.
Larger or more complex transactions may incur higher costs.

Compared to the potential cost of a legal battle or a lost property claim, this one-time expense is relatively minor.

Benefits of Title Insurance in Michigan

If you’re still wondering whether title insurance is worth it, here are the key benefits:

Peace of Mind – You know your ownership rights are protected from hidden claims.
Financial Protection – Covers legal costs and potential losses related to title disputes.
One-Time Payment – Unlike other insurances, you pay only once at closing.
Protection for Heirs – Your coverage continues to protect your heirs if the property is passed down.
Common in Michigan Transactions – Title insurance is the norm in most real estate deals across the state, making it easier to sell later if you already have a clean title policy.

Situations Where Title Insurance Proves Valuable

To illustrate the value of title insurance, let’s consider a couple of real-life scenarios:

Case 1: Unpaid Taxes
A couple in Detroit buys a home only to discover six months later that the previous owner owed $7,000 in back property taxes. Without title insurance, they’d have to pay the debt themselves. With insurance, the policy covers it.
Case 2: Unknown Heir
In Grand Rapids, a buyer closed on a property that once belonged to a family with multiple heirs. Two years later, an heir came forward claiming ownership. Title insurance covered the legal defense and costs, saving the buyer thousands of dollars.

These examples show that even with thorough searches, risks remain—and title insurance steps in when the unexpected happens.

Do You Really Need It?

If you’re paying cash and don’t have a lender requiring insurance, you could technically buy a home without it. But the question is: should you?

Skipping title insurance may save you a small percentage upfront, but the potential consequences are massive. A single legal claim can cost tens of thousands of dollars—or even result in losing your property.

Most Michigan real estate experts, attorneys, and agents agree: title insurance is worth it.

Final Thoughts

So, do you really need title insurance in Michigan? While not legally required for homeowners, it’s a smart investment for nearly anyone purchasing real estate in the state. It provides peace of mind, financial protection, and long-term security for one of the biggest investments of your life.

For a relatively small one-time cost, title insurance shields you from unpredictable risks that could otherwise devastate your finances. In the unpredictable world of real estate, it’s better to be safe than sorry.

? Bottom Line: In Michigan, title insurance may not be mandatory for homeowners, but it’s one of the smartest protections you can choose when buying property.

Learn more about our comprehensive title insurance services here.

Thank you for reading! If you enjoyed this article and want to explore more content on similar topics, check out our other blogs at Sonic Loans, Sonic Realty, and Sonic Title. We have a wealth of information designed to help you navigate the world of real estate and finance. Happy reading!

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Title Insurance vs. Homeowner’s Insurance: What’s the Difference?

Sep 25, 2025 DJ Peterson 0 Comment

Buying a home is one of the biggest investments most people will ever make. With such a major purchase, protecting your financial interests becomes essential. Two forms of protection you’ll encounter are title insurance and homeowner’s insurance. While both provide valuable safeguards, they cover very different risks. Understanding these differences can save you from costly surprises down the road.

In this article, we’ll break down what title insurance is, how it differs from homeowner’s insurance, and why both are important to your long-term financial security.

What Is Title Insurance?

Title insurance protects homeowners and lenders against financial loss stemming from issues with a property’s title. The “title” is the legal ownership record of a property. When you buy a home, you want to ensure the title is clear, meaning there are no disputes, liens, or other legal claims that could challenge your ownership.

Despite a thorough title search during the closing process, hidden issues sometimes arise. Title insurance steps in to protect you from these unexpected problems.

Common title issues include:

Undisclosed liens: Previous owners may have unpaid debts, such as contractor fees or back taxes, attached to the property.
Ownership disputes: Heirs, ex-spouses, or business partners may later claim rights to the property.
Clerical errors: Mistakes in public records, deeds, or surveys can lead to unclear ownership.
Fraud or forgery: Past fraudulent deeds or falsified documents can invalidate ownership rights.

Unlike most insurance types, title insurance is a one-time purchase, paid at closing. There are two types:

Owner’s Policy – Protects you, the buyer, for as long as you own the home.
Lender’s Policy – Protects the mortgage lender’s interest until the loan is paid off.

What Is Homeowner’s Insurance?

Homeowner’s insurance is an ongoing policy that protects you against future risks that can physically damage your home or belongings. It typically also provides liability coverage if someone is injured on your property.

Standard homeowner’s insurance policies usually cover:

Dwelling coverage: Repairs or rebuilding if your home is damaged by fire, windstorms, hail, or other covered events.
Personal property coverage: Protection for furniture, electronics, clothing, and valuables inside your home.
Liability coverage: Legal and medical expenses if someone gets injured on your property or you accidentally damage someone else’s property.
Additional living expenses: Costs for temporary housing if your home becomes uninhabitable due to a covered loss.

Unlike title insurance, homeowner’s insurance is ongoing, requiring monthly or annual premium payments. Coverage must be maintained throughout the life of your homeownership, and mortgage lenders typically require proof of insurance before approving a loan.

The Key Differences Between Title Insurance and Homeowner’s Insurance

Although both are tied to homeownership, these two types of insurance cover very different risks.

Coverage Type	Past ownership and legal issues affecting property title	Future risks of damage, theft, or liability
When It’s Paid	One-time premium at closing	Ongoing monthly or annual premiums
Duration	For as long as you own the property (Owner’s Policy)	As long as premiums are paid
Common Claims	Liens, fraud, ownership disputes, errors in public records	Fire, storm damage, theft, personal injury claims
Who It Protects	Owner and lender	Homeowner and sometimes mortgage lender

Why Title Insurance Matters

At first glance, title insurance might not seem as critical as homeowner’s insurance, but it protects against potentially devastating legal and financial problems. Imagine buying your dream home only to find out months later that the previous owner’s unpaid contractor files a lien against your property. Without title insurance, you might have to pay thousands—or worse, face legal challenges to your ownership.

Title insurance provides peace of mind that your investment is secure, covering legal costs and financial losses tied to title defects. Since the cost is a one-time fee, it’s a relatively small price to pay for lifelong protection.

Why Homeowner’s Insurance Matters

While title insurance guards against the past, homeowner’s insurance protects your future. Life is unpredictable—storms, fires, and accidents happen. Without homeowner’s insurance, you would be responsible for paying out-of-pocket for repairs, replacement of belongings, or liability lawsuits.

For example:

If a tree falls on your roof during a storm, homeowner’s insurance helps cover repair costs.
If a guest slips on your icy driveway and sues for medical expenses, liability coverage steps in.
If your home becomes unlivable after a fire, your policy may cover hotel and living expenses until it’s rebuilt.

Because the financial risk of not having homeowner’s insurance is so high, lenders require it before approving a mortgage.

Do You Really Need Both?

Yes. While the two policies serve different purposes, they work together to fully protect your investment. Title insurance ensures that you start homeownership with a clear and legally protected title, while homeowner’s insurance ensures you’re covered against future physical and financial risks.

Think of it this way:

Title insurance = Protection against the past
Homeowner’s insurance = Protection for the future

Without both, you leave gaps in your protection that could expose you to massive costs.

Tips for Homebuyers

Ask about both policies at closing. Many homebuyers focus only on homeowner’s insurance and overlook the importance of title insurance.
Shop for homeowner’s insurance rates. Premiums vary by company, so compare policies to find the best balance of coverage and cost.
Understand your title insurance coverage. While lenders’ policies are mandatory, owners’ policies are optional but highly recommended.
Bundle when possible. Some insurers offer discounts if you bundle homeowner’s insurance with auto or other policies.
Review your policy annually. Your homeowner’s insurance needs may change as you renovate, acquire valuables, or adjust liability coverage.

Conclusion

Homeownership is a major milestone, but it also comes with risks—both hidden and visible. Title insurance and homeowner’s insurance are two different but equally important safeguards. Title insurance protects you from past ownership problems and legal disputes, while homeowner’s insurance protects you from future damage, theft, and liability.

Together, these policies provide a comprehensive safety net, ensuring your financial investment and peace of mind are secure. As you progress in your homeownership journey, ensure you understand both types of coverage and why having both is crucial.

Learn more about our comprehensive title insurance services here.

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The Role of a Title Company in Your Home Closing

Sep 23, 2025 DJ Peterson 0 Comment

Buying a home is one of the most significant financial decisions most people will ever make. While real estate agents, lenders, and attorneys often take the spotlight during the home-buying process, there’s another crucial player working diligently behind the scenes—the title company. Without their expertise, your home closing could face unexpected delays, legal disputes, or even risk of fraud.

A title company plays a central role in ensuring that the property you are buying has a clean and undisputed ownership record. From performing title searches and issuing title insurance to preparing legal documents and facilitating escrow, they act as the bridge between all parties involved in the transaction. Let’s break down the five most important responsibilities a title company fulfills during your home closing.

1. Conducting a Title Search

The first and perhaps most essential function of a title company is conducting a thorough title search. This step involves reviewing public records, legal documents, court filings, and past ownership transfers to confirm that the seller has the legal right to sell the property.

During this process, the title company looks for:

Outstanding liens such as unpaid mortgages, property taxes, or contractor bills.
Judgments or lawsuits attached to the property.
Ownership disputes, for example, may arise if heirs or co-owners claim rights to the home.
Easements and restrictions that may affect how the property can be used.

The title search protects buyers from hidden problems. Imagine purchasing a home only to later discover that a contractor filed a lien for unpaid work or that a previous owner’s relative is contesting the sale. The title company’s research ensures these issues are uncovered and resolved before closing.

2. Providing Title Insurance

Even the most meticulous title search cannot guarantee absolute certainty. Mistakes in public records, undiscovered heirs, or fraudulent deeds can surface long after closing. To safeguard against these risks, the title company issues title insurance.

There are typically two types of title insurance:

Owner’s Policy: Protects the buyer against future claims or disputes regarding ownership.
Lender’s Policy: Protects the mortgage lender’s financial interest in the property.

Title insurance gives both parties peace of mind. If a future claim arises, the insurance company covers legal fees and financial losses. This protection is a one-time premium paid at closing and remains in effect as long as you own the home.

3. Acting as an Escrow Agent

Home transactions involve significant sums of money, and trust between buyer and seller is vital. To ensure fairness, the title company often serves as an escrow agent, holding funds and documents until all conditions of the sale are met.

For example, the buyer may deposit their earnest money and closing funds into escrow, while the seller deposits the signed deed. The title company then releases funds to the seller and transfers ownership documents to the buyer only after confirming that all requirements have been satisfied.

This role ensures no party is at risk of losing money or property before the deal is officially completed. It’s an impartial safeguard that keeps the transaction secure and transparent.

4. Preparing and Reviewing Closing Documents

A home closing involves a substantial amount of paperwork, and accuracy is crucial. Title companies prepare, organize, and review these documents to ensure compliance with state and federal laws. Some of the key documents include:

The Deed: Officially transfers ownership from seller to buyer.
The Settlement Statement (Closing Disclosure): Breaks down the costs and credits for both parties.
Loan Documents: If financing is involved, the title company ensures the lender’s requirements are met.
Property Tax Records and Payoffs: Verifies that all taxes and prior mortgages are settled before transfer.

By overseeing document preparation, the title company ensures that there are no errors that could delay closing or cause legal issues later. They also coordinate with attorneys, lenders, and real estate agents to make sure all paperwork is properly signed and notarized.

5. Facilitating the Closing Process

The final step in buying a home is the closing, and the title company plays a crucial role in ensuring it runs smoothly. At the closing table, representatives from the title company typically:

Walk buyers and sellers through each document.
Ensure funds are disbursed correctly to pay off existing mortgages, taxes, and fees.
Distribute the remaining balance to the seller.
Record the new deed with the appropriate county office to make the sale official.

In short, the title company ensures that the closing is legally binding, financially accurate, and properly documented. Without their expertise, finalizing the transaction would be risky and chaotic.

Why the Title Company Matters

Many homebuyers don’t interact much with the title company until closing day, but their behind-the-scenes work is critical for protecting your investment. They act as investigators, insurance providers, financial intermediaries, and document experts—all in one.

Here’s why their role is indispensable:

They eliminate hidden risks by identifying ownership issues early.
They provide long-term security through title insurance.
They ensure fairness by acting as a neutral escrow agent.
They streamline the process by preparing and organizing documents.
They finalize the ownership transfer to make your home purchase official.

For buyers, this means confidence that the property they are purchasing is legally theirs and free of any surprises. For sellers, it ensures a clean transfer and timely payment. For lenders, it provides assurance that their investment is secure.

Tips for Working with a Title Company

Research and choose wisely: While lenders or agents may recommend a title company, buyers often have the right to select their own. Compare reviews, pricing, and responsiveness to find the best fit.
Ask questions early: Don’t hesitate to ask your title officer about fees, insurance policies, or any concerns you have about the process.
Review documents carefully: Although the title company prepares the paperwork, it is essential to read through everything before signing.
Stay in communication: Keep in touch with your title company throughout the process to avoid last-minute delays and ensure a smooth transaction.

Conclusion

The role of a title company in your home closing cannot be overstated. From verifying ownership and issuing insurance to holding funds and finalizing paperwork, they ensure that one of life’s biggest purchases is legally sound and financially protected.

Whether you’re a first-time buyer or a seasoned investor, working with a reputable title company is an essential step in achieving a smooth and secure closing. Their expertise not only protects your property rights but also provides the peace of mind you need to move into your new home with confidence.

Learn more about our comprehensive title insurance services here.

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What Happens During a Title Search in Michigan?

Sep 18, 2025 DJ Peterson 0 Comment

Buying or selling a home is one of the biggest financial decisions most people will make. In Michigan, as in many other states, the title search process plays a critical role in ensuring that property ownership transfers smoothly and securely. Whether you are purchasing your first home, refinancing a mortgage, or investing in real estate, understanding what happens during a title search can help you avoid costly mistakes and legal complications.

This article will walk you through what a title search is, why it’s important, how the process works in Michigan, and what buyers, sellers, and lenders should expect.

What Is a Title Search?

A title search is an examination of public records related to a property. The goal is to confirm that the seller has a legal right to transfer ownership and that no one else has a claim, lien, or legal interest in the property. The search is conducted by a title company or a real estate attorney and typically occurs after an offer has been accepted but before closing.

In Michigan, title searches are governed by state law and industry standards, ensuring that all parties in the transaction—buyers, sellers, and lenders—are protected.

Why Is a Title Search Important in Michigan?

Without a thorough title search, buyers may unknowingly inherit legal or financial problems associated with the property. Here’s why the process matters:

Protects Buyers – A title search ensures the buyer is receiving clear ownership rights, free from disputes.
Protects Lenders – Mortgage lenders require a clean title to safeguard their investment.
Prevents Legal Issues – Identifying liens, easements, or judgments ahead of time prevents post-closing surprises.
Supports Title Insurance – Title insurance companies rely on the search to assess risk and issue coverage.

In Michigan, skipping or rushing this process could leave a buyer responsible for thousands of dollars in back taxes, legal fees, or repairs due to undisclosed property restrictions.

The Step-by-Step Title Search Process in Michigan

A title search in Michigan follows a structured process, though details may vary depending on the county and property type. Here are the major steps:

1. Review of Public Records

The title company or attorney begins by examining public records at the county Register of Deeds office. This includes:

Deeds – To establish a clear chain of ownership (called the “chain of title”).
Mortgages – To check for active loans secured by the property.
Liens and Judgments – Such as unpaid contractor bills, tax debts, or child support liens.
Probate Records – If the property was inherited, to ensure a legal transfer.
Divorce Records – To confirm that ex-spouses have no lingering ownership rights.

2. Chain of Title Examination

The chain of title is the history of ownership transfers. The examiner verifies that each transfer was legally executed and recorded. Any missing documents, forgeries, or gaps in ownership could cloud the title.

3. Check for Easements and Restrictions

Some properties in Michigan come with easements, which are legal rights allowing others to use part of the property—for example, utility companies needing access to power lines. Additionally, covenants or restrictions may dictate how the property can be used, especially in subdivisions or HOA communities.

4. Search for Liens and Encumbrances

The examiner checks whether there are any debts or obligations attached to the property, such as:

Tax Liens – Unpaid property taxes owed to the state or county.
Mechanic’s Liens – Claims by contractors or builders for unpaid work.
Judgment Liens – Court-ordered debts that must be resolved before transfer.

5. Survey and Legal Description Review

The property’s legal description is compared with maps and surveys to confirm boundary lines. This helps identify disputes with neighbors or encroachments, such as a fence or driveway built across property lines.

6. Report Findings

Once complete, the title company prepares a title commitment or preliminary report, which outlines:

Who currently owns the property?
Any liens, easements, or encumbrances.
Conditions that must be met before the property can close.

This report is shared with the buyer, seller, lender, and real estate agents.

Common Issues Found in Michigan Title Searches

While many title searches come back clean, it’s not uncommon to uncover problems that must be resolved before closing. Some common issues in Michigan include:

Unpaid Property Taxes – Michigan counties can place liens for unpaid taxes, which must be cleared before a property transfer can occur.
Mechanic’s Liens – Contractors may file liens for unpaid home improvements.
Outstanding Mortgages – Old mortgages may still be listed even after being paid off, requiring a release document.
Unknown Heirs – If the property was passed down without proper probate, heirs may surface later with claims.
Clerical Errors – Misspellings or recording mistakes in deeds can create confusion in the chain of title.
Easement Disputes – Utility or access easements may limit how the property can be used.

How Title Issues Are Resolved

If issues arise during the search, the title company works with the seller to resolve them. For example:

Paying off outstanding liens.
Filing legal documents to release old mortgages.
Correcting clerical errors through affidavits.
Negotiating easement agreements.

In some cases, closing may be delayed until the issues are fully resolved. Title insurance can protect buyers from certain risks that may not be identified during the search process.

The Role of Title Insurance in Michigan

Once the title search is complete, buyers are typically required to purchase title insurance. There are two main types:

Owner’s Title Insurance – Protects the buyer from future claims against ownership.
Lender’s Title Insurance – Required by most mortgage lenders to protect their financial interest.

Title insurance is a one-time cost paid at closing. In Michigan, it provides peace of mind that even if an overlooked issue arises later, the insurance will cover legal defense or financial loss.

How Long Does a Title Search Take in Michigan?

Most title searches in Michigan take 3 to 7 business days, though the timeline can vary depending on:

The property’s history (older properties often require more extensive searches).
The county’s record-keeping system.
The complexity of liens or ownership transfers.

Final Thoughts

A title search in Michigan is an essential safeguard in any real estate transaction. By carefully reviewing public records, identifying liens and encumbrances, and confirming clear ownership, the process protects both buyers and lenders from unforeseen risks.

Whether you are buying a home in Detroit, investing in rental property in Grand Rapids, or refinancing a cottage in Northern Michigan, a title search ensures your investment is legally sound and free from hidden issues.

When paired with title insurance, this process gives buyers the confidence to move forward, knowing their property rights are secure.

Learn more about our comprehensive title insurance services here.

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Common Title Issues in Michigan Homes and How to Avoid Them

Sep 16, 2025 DJ Peterson 0 Comment

Purchasing a home is one of the biggest investments most Michigan residents will ever make. While the process can be exciting, it also comes with its share of legal complexities, particularly when it comes to the home’s title. A clear title is essential for ensuring that your property rights are secure and undisputed. Unfortunately, many buyers encounter title issues that can cause delays, unexpected expenses, or even loss of ownership rights.

This article examines the most common title issues in Michigan homes and offers practical steps to avoid them. Whether you’re buying, selling, or refinancing, understanding these challenges can save you time, money, and frustration.

1. Outstanding Liens and Mortgages

One of the most common title issues in Michigan involves liens—legal claims placed on a property due to unpaid debts. These debts may include:

Unpaid mortgages
Contractor’s mechanics’ liens
Unpaid property taxes
Child support or judgment liens

When a lien exists, the creditor has a legal right to be paid from the proceeds of the property sale. If not resolved before closing, the lien can transfer to the new homeowner, leaving them responsible for someone else’s debt.

How to Avoid It:

Always order a professional title search before closing.
Work with a title company or real estate attorney to ensure all liens are paid and released.
Purchase title insurance for added protection against undiscovered liens.

2. Boundary and Survey Disputes

Property boundaries in Michigan can sometimes be unclear, especially in rural areas or older neighborhoods. Disputes may arise if a fence, driveway, or structure extends across a neighbor’s property line. In some cases, boundary disagreements arise from outdated or conflicting property surveys.

How to Avoid It:

Have a current land survey conducted before finalizing your purchase.
Compare the survey with the legal description in the deed.
Resolve discrepancies with the seller and neighbors before closing.

A small encroachment today could turn into a major legal battle later, so it’s best to identify issues early.

3. Probate and Heirship Issues

Michigan law requires proper probate proceedings when property is passed down after an owner’s death. Problems can occur when heirs are not properly identified, paperwork is incomplete, or one heir sells without the consent of others. If you purchase a home with unresolved heirship issues, you could face claims from unknown heirs later.

How to Avoid It:

Request verification of the seller’s legal right to sell the property.
Ensure the property went through proper probate court proceedings.
Confirm that all heirs or legal representatives have signed off on the sale.

Working with an experienced title company is essential in these cases, as they will check probate court records and confirm ownership.

4. Errors in Public Records

Even minor clerical errors in Michigan’s public records can lead to significant title issues. Common examples include:

Misspelled names
Incorrect legal property descriptions
Recording errors with deeds or mortgages

These errors can cloud the title, making it difficult to establish clear ownership.

How to Avoid It:

Hire a reputable title company to thoroughly examine the chain of title.
Use title insurance to protect against undiscovered errors.
If errors are found, request a correction from the appropriate county office before closing.

5. Fraudulent or Forged Documents

Unfortunately, fraud can occur in Michigan real estate transactions. In some cases, fraudulent deeds or forged signatures are used to transfer property illegally. If the fraud is discovered after your purchase, you could face serious challenges to your ownership rights.

How to Avoid It:

Verify the seller’s identity and confirm that they are the true property owner.
Use secure, verified channels for transferring funds.
Purchase owner’s title insurance—this is one of the few ways to protect yourself against fraud-related title claims.

6. Unreleased Prior Mortgages

Sometimes, a previous owner’s mortgage is paid off but never officially released in the public record. This creates confusion and may appear as if the property is still encumbered by debt.

How to Avoid It:

Have your title company verify that all prior mortgages are released.
Request a recorded “discharge of mortgage” document from the lender.
Do not close until the title is free of these old claims.

7. Easements and Rights of Way

Easements permit others to use a portion of your property for a specific purpose, such as utility access or shared driveways. While easements are not always problematic, undisclosed easements can restrict how you use your property.

How to Avoid It:

Review the property’s title report and survey for easements.
Ask questions about any recorded rights of way.
Consider how an easement may impact your future property use before making a purchase.

8. Undisclosed or Missing Heirs

In cases where a Michigan homeowner dies without a will, heirs may later surface claiming ownership of the property. Even years after a sale, these heirs could challenge the validity of your ownership if probate was not properly settled.

How to Avoid It:

Confirm through your title company that probate was handled correctly.
Require seller affidavits confirming there are no outstanding heirs.
Title insurance can protect against later claims by unknown heirs.

9. Restrictive Covenants and HOA Issues

Many Michigan properties, particularly those in subdivisions or condominium communities, are subject to restrictive covenants and homeowners’ association (HOA) rules. These restrictions may limit renovations, exterior colors, or even the ability to rent your property. In some cases, unpaid HOA dues may also create a lien.

How to Avoid It:

Review all HOA documents and bylaws thoroughly before making a purchase.
Confirm there are no unpaid HOA dues or assessments.
Make sure the restrictions align with your intended use of the property.

10. Unpaid Property Taxes

Delinquent property taxes are another frequent issue in Michigan real estate. Counties can issue tax liens or, in severe cases, foreclose on the property. If you purchase a home with unpaid taxes, you may inherit this burden.

How to Avoid It:

Confirm with the local county treasurer’s office that property taxes are current.
Ask your title company to verify that there are no tax liens.
Require the seller to settle unpaid taxes before closing.

Final Thoughts: Protecting Yourself as a Michigan Homebuyer

A home is more than just an investment—it’s your safe space, your future, and often your legacy. Title issues can threaten that investment if left unchecked. The good news is that most problems can be identified and resolved before closing with the help of professionals.

To protect yourself when buying a Michigan home:

Work with a reputable title company that will conduct a thorough title search.
Always purchase title insurance—it’s a one-time cost that protects you for as long as you own your home.
Review all documents carefully and ask questions about anything unclear.
Resolve disputes promptly rather than assuming they will resolve themselves after closing.

By being proactive and vigilant, Michigan homebuyers can avoid common title issues and enjoy peace of mind in their new homes.

Learn more about our comprehensive title insurance services here.

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Why Title Insurance Is Essential for Michigan Homebuyers

Sep 11, 2025 DJ Peterson 0 Comment

Buying a home is one of the most significant investments most people will ever make. In Michigan, where real estate markets range from the bustling suburbs of Detroit to the quiet towns along the Upper Peninsula, protecting your investment is vital. That’s where title insurance comes into play. For Michigan homebuyers, title insurance is not just a formality during closing—it’s an essential safeguard against hidden risks that could threaten your property rights and financial stability.

This article explains what title insurance is, why it matters in Michigan specifically, and how it can save homebuyers from unexpected headaches and expenses.

What Is Title Insurance?

Title insurance is a type of protection that shields homeowners and lenders from potential legal issues tied to the ownership history of a property. Unlike most insurance policies that cover future events, title insurance protects against past events that might affect ownership.

For example, when you purchase a home, you expect that the seller has the legal right to transfer ownership. However, mistakes or hidden claims can sometimes exist within the property’s history. Title insurance ensures that if an undiscovered issue arises—such as an unpaid tax lien, a forged deed, or a missing heir claiming ownership—you are financially protected.

Why Title Insurance Matters for Michigan Homebuyers

Michigan homebuyers face unique risks due to the state’s property laws and history. From Detroit’s resurgence in urban development to historic properties in cities like Dearborn or Livonia, many homes have long, complex ownership histories. Title insurance helps protect buyers against these risks.

Here are some key reasons why it’s essential:

1. Protection Against Liens and Debts

Previous owners may have left unpaid debts—like property taxes, contractor bills, or mortgage balances—that are tied to the property, not the person. If these debts go unpaid, creditors could come after the new homeowner. Title insurance ensures you won’t be responsible for debts you didn’t incur.

2. Guarding Against Fraud and Forgery

Unfortunately, fraudulent activity is not uncommon in real estate. Forged signatures on deeds, falsified documents, or even identity theft can create false claims of ownership. Title insurance protects buyers if such issues surface after the purchase.

3. Resolving Errors in Public Records

Clerical errors happen more often than people realize. A typo in a legal description, a misfiled document, or an incomplete record can cloud a property’s title. Title insurance helps correct these issues without leaving the homeowner responsible for costly fixes.

4. Preventing Boundary Disputes

In Michigan’s suburban neighborhoods, where properties often border each other closely, disputes over boundaries and easements are common. Title insurance provides legal protection if a neighbor claims part of your yard or driveway is actually theirs.

5. Inheritance and Missing Heirs

Sometimes, heirs to a property are unknown at the time of sale. If they later appear and make a legal claim, the current homeowner could face a serious challenge to ownership. Title insurance defends against these claims.

Lender’s Title Insurance vs. Owner’s Title Insurance

In Michigan, lenders typically require borrowers to purchase lender’s title insurance as part of the mortgage process. This policy protects the lender’s financial interest in the property.

However, lender’s insurance does not protect the buyer’s equity or ownership rights—it only safeguards the bank. That’s why homebuyers should strongly consider purchasing owner’s title insurance, which is optional but highly recommended.

Owner’s title insurance protects the buyer personally, covering their legal rights and financial investment in the home. It’s usually a one-time cost paid at closing, and it lasts for as long as you own the property.

Michigan-Specific Considerations

Michigan has some unique real estate characteristics that make title insurance even more important:

Historic Properties: Many homes in cities like Dearborn, Canton, and Livonia have changed hands for decades. Older homes often have longer chains of ownership, increasing the risk of clerical errors, unpaid taxes, or boundary disputes.
Detroit’s Revitalization: With new development and rehabbing of older properties in Detroit and surrounding suburbs, title issues can surface from decades of neglect, abandoned properties, or incomplete documentation.
Cottage and Lakefront Homes: Vacation properties along Michigan’s lakes often come with easements, shared access rights, or boundary lines that can be disputed. Title insurance protects against claims related to these complexities.

Real-Life Examples of Title Problems

To better understand why title insurance is essential, consider these scenarios:

A Michigan couple bought a home only to discover that a contractor had placed a lien on the property for unpaid work by the previous owner. Without title insurance, the couple would have been responsible for paying thousands of dollars.
In another case, a buyer in Wayne County discovered that the property deed had been forged years prior. Title insurance covered the legal costs and ensured the buyer retained ownership.
A family who purchased a vacation home in northern Michigan was later challenged by neighbors claiming the driveway encroached on their land. Title insurance provided legal defense, saving the family significant legal expenses.

These examples illustrate how title insurance can make the difference between a minor inconvenience and a financial nightmare.

The Cost of Title Insurance in Michigan

One of the biggest questions homebuyers ask is: How much does title insurance cost?

In Michigan, the cost is typically based on the purchase price of the home and is paid once at closing. On average, owner’s title insurance ranges from a few hundred dollars to around $2,000. While this might seem like a significant cost upfront, it is minimal compared to the potential financial losses of an ownership dispute.

It’s also important to note that title insurance is not an annual premium—it’s a one-time fee that protects you for as long as you own your home.

Peace of Mind for Michigan Homebuyers

Buying a home is stressful enough without the added worry of legal disputes or hidden claims. Title insurance provides peace of mind, ensuring that once you close on your Michigan home, your ownership is secure.

With owner’s title insurance, you won’t have to face potential legal battles or unexpected financial losses on your own. Whether you’re buying your first home in Canton, upgrading to a larger property in Livonia, or investing in real estate in Dearborn or Allen Park, title insurance is an essential layer of protection.

Final Thoughts

For Michigan homebuyers, title insurance is more than just another box to check at closing—it’s an essential investment in your financial security and peace of mind. With the unique risks posed by the state’s diverse real estate market, having protection against liens, fraud, clerical errors, and inheritance claims is invaluable.

If you’re preparing to purchase a home, be sure to discuss both the lender’s and the owner’s title insurance with your real estate agent or title company. The small upfront cost is well worth the long-term protection.

In the end, title insurance ensures that when you turn the key to your new Michigan home, you can do so with confidence—knowing your investment and property rights are fully protected.

Learn more about our comprehensive title insurance services here.

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First-Time Buyer’s Guide to Understanding Title Insurance

Sep 9, 2025 DJ Peterson 0 Comment

Buying your first home is an exciting milestone, but it can also feel overwhelming with all the new terminology, paperwork, and legal requirements. One term you’re likely to hear during the process is title insurance. While it may not sound as exciting as picking out paint colors or decorating your new living room, understanding title insurance is essential for protecting your investment.

If you’re a first-time buyer, this guide will walk you through the basics of title insurance—what it is, why it’s necessary, and how it safeguards your ownership rights.

What Is Title Insurance?

When you purchase a home, you’re not just buying the physical property—you’re also buying its legal history. The property may have changed hands several times before, and with each transfer, there’s the potential for errors, disputes, or claims.

Title insurance is a type of protection that ensures your ownership rights are clear and free from unexpected legal issues. It protects you against problems related to the home’s title (the legal right of ownership). Unlike other types of insurance that cover future risks, title insurance covers issues from the past that may come to light after you’ve bought the property.

Why Is Title Insurance Important for First-Time Buyers?

As a first-time buyer, you may not realize how many potential risks are tied to a property’s history. Without title insurance, you could face costly legal battles or even lose your home. Some of the common risks include:

Outstanding Liens: Unpaid property taxes, contractor bills, or previous mortgages could still be attached to the property.
Clerical Errors: Mistakes in public records, such as a misspelled name or incorrect legal description, could cloud the title.
Unknown Heirs: A long-lost heir of a previous owner could surface with a legal claim to the property.
Fraud or Forgery: Past deeds or documents may have been forged, making the ownership transfer invalid.
Easements and Restrictions: Undisclosed rights granted to others (like utility companies) could affect how you use the property.

Having title insurance means you won’t be responsible for these hidden issues. Instead, the title insurance company covers the costs of resolving disputes or compensates you if a valid claim affects your ownership.

Types of Title Insurance Policies

When you buy a home, there are typically two types of title insurance policies involved:

1. Owner’s Policy

This policy protects you, the homeowner, for as long as you own the property. It ensures your legal ownership is valid and defends against claims that could threaten your rights.

2. Lender’s Policy

If you’re financing your home with a mortgage, your lender will require this policy. It protects the lender’s financial interest in the property until the loan is paid off.

It’s important to note that the lender’s policy does not protect you—it only protects the bank or mortgage company. To safeguard your own rights, you’ll need an owner’s policy.

How Much Does Title Insurance Cost?

The cost of title insurance is usually a one-time premium paid at closing. Unlike other types of insurance, there are no ongoing monthly or annual payments. The price varies depending on the home’s value and state regulations but generally ranges between 0.5% and 1% of the purchase price.

For example, if you buy a $250,000 home, your title insurance premium might be around $1,250 to $2,500. While this may seem like an added expense, it provides peace of mind against potential losses that could cost much more in the future.

What Does Title Insurance Cover?

A standard owner’s title insurance policy covers a wide range of issues, including:

Forgery or fraud in prior ownership transfers
Undisclosed heirs or legal claims
Errors in deeds or public records
Liens from unpaid debts or taxes
Encumbrances that affect ownership rights

Some enhanced policies may also cover:

Zoning violations
Building permit issues
Access rights to the property

The level of protection depends on the policy you purchase. When in doubt, ask your title company or closing agent for a detailed explanation of what’s included.

How Does the Title Insurance Process Work?

Before you close on your new home, the title company conducts a title search. This involves reviewing public records, legal documents, and the property’s ownership history to identify any potential issues with the title.

If issues are found, they are typically resolved before closing. For example, if a lien is discovered, the seller must pay it off before transferring ownership. Once the title is deemed “clear,” the insurance policy is issued, ensuring you’re protected against any overlooked or undiscovered problems.

Common Myths About Title Insurance

Because many first-time buyers are unfamiliar with title insurance, a few misconceptions often arise:

“I don’t need it if I trust the seller.”
Even honest sellers may not be aware of hidden title defects from years past.
“The lender’s policy is enough.”
The lender’s policy protects the bank, not you. Without an owner’s policy, you could still face risks.
“It’s too expensive for what it covers.”
Considering it’s a one-time cost that protects your largest investment, title insurance is relatively affordable.

Tips for First-Time Buyers

Ask Questions Early: Don’t wait until closing day to understand your title insurance options. Request explanations from your real estate agent or title company.
Compare Policies: Not all policies provide the same level of coverage. Compare standard and enhanced options to determine which one works best for your situation.
Understand the Exceptions: Every policy has exclusions. Review them carefully so you know what’s covered and what isn’t.
Work With Trusted Professionals: Choose a reputable title company or attorney with strong reviews and local expertise.

The Peace of Mind Title Insurance Brings

For first-time buyers, navigating the home-buying process can feel like learning a new language. Title insurance may seem like just another line item on your closing costs, but it provides something invaluable: peace of mind.

By securing an owner’s policy, you protect your home from hidden legal risks that could otherwise cause financial stress or even jeopardize your ownership. For a one-time premium, you gain lasting protection for as long as you own your home.

Final Thoughts

Buying your first home is a major accomplishment. While it’s natural to focus on the excitement of moving in, don’t overlook the importance of protecting your new investment. Title insurance ensures that the dream of homeownership doesn’t come with unexpected legal nightmares.

By understanding what title insurance is, how it works, and why it’s essential, you’ll be better prepared to make informed decisions as you step into homeownership. For first-time buyers, that confidence is just as valuable as the keys to your new front door.

Learn more about our comprehensive title insurance services here.

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How to Transfer Property Title in Michigan

Sep 4, 2025 DJ Peterson 0 Comment

Transferring a property title in Michigan is a legal process that involves preparing, executing, and recording a deed, resolving liens or encumbrances, and filing the required state affidavit. Whether you’re buying, gifting, inheriting, or selling real estate, following Michigan’s statutory requirements is essential to ensure a clean and valid ownership transfer.

1. Understand Key Concepts: Title, Deeds, Liens

Title represents legal ownership and outlines rights associated with the property. A clear title means no unresolved claims exist; a clouded title may have liens, unpaid taxes, boundary disputes, or other encumbrances that impair transferability Generis Online+1 Wikipedia.
A deed is the legal instrument that conveys title from one party (the grantor) to another (the grantee). Michigan recognizes various deed types:
- Warranty deed, which guarantees the grantor holds a clear and undefected title, with protections even before the grantor acquired the property Legal Beagle Wikipedia.
- Quitclaim deed, which transfers only whatever interest the grantor may have, without any warranties—commonly used between family members or trusted parties Legal Beagle Wikipedia.
- Covenant deed, providing a limited warranty (only covering actions taken during the grantor’s ownership) Legal Beagle.
- Specialized forms like life estate or Lady Bird deeds allow for delayed transfer or retention of use during life but automatic transfer upon death, avoiding probate Legal Beagle.

2. Conduct a Title Search & Resolve Liens

Before preparing a deed, it’s critical to research the title history. A title search reviews public records, uncovering any existing liens (like mortgage, tax, contractor liens), easements, or encumbrances that must be resolved for a clear title transfer Generis Online Wikipedia+1.
If liens are found, they must be cleared—through payment, payoff arrangements, or documented releases—to prevent delays or legal complications during the transfer Generis Online Prime Land Buyers LegalClarity.

3. Prepare the Right Deed

Choose the appropriate deed type for your situation: warranty deed for full assurances to the buyer; quitclaim for intra-family or trust transfers; covenant deed as an in-between option Legal Beagle mbelr.org Bowen Hoogstra.
Key deed requirements under Michigan law include:

Grantor signatures must be notarized; grantee signature not required.
Names must be legible and match the notarial acknowledgment.
Legal description of the property, consideration amount, and street address of grantee.
Formatting: black ink, ?10-point font, margins (?2.5″ top on first page; 0.5″ other margins), letter- or legal-size white paper of at least 20-lb weight.
Deed preparer’s name and business address, plus statutory transfer tax language or exemptions.
For unplatted land, a farm operation disclosure, as required by the Michigan Right to Farm Act, must be included with Legal Beagle Prime Land Buyers.

4. Signing and Notarization

The grantor must sign the deed in the presence of a notary public. The notary license information and signature must appear on the deed, with printed names beneath each signature, reflecting the same names entered on the notarial block Legal Beagle.

5. Record the Deed with the County Register of Deeds

After execution, the deed must be recorded in the county Register of Deeds office where the property is located. Recording puts the deed into the public record, giving constructive notice to third parties and protecting legal ownership under Michigan’s race/notice statute Legal Beagle Wikipedia.
Fees vary by county (for example, Wayne County charges around $15 plus additional for extra pages, Monroe County $30 flat) Legal Beagle. Prompt recording is vital to protect your interest.

6. File the Property Transfer Affidavit

Within 45 days of transferring the property, the new owner (grantee) must file the Michigan Form 2766, Property Transfer Affidavit, with the Department of Treasury. This helps determine transfer taxes and assessable value, and ensures compliance with state tax obligations Legal Beagle Prime Land Buyers.

7. Obtain Title Insurance (Optional but Recommended)

While not mandatory, securing title insurance protects buyers and lenders from hidden defects, liens, undisclosed claims, or legal challenges that may arise after the transaction. It ensures financial protection and legal remediation in the event of problems emerging later. LegalClarity Generis Online.

8. Optional: Engage a Real Estate Attorney or Title Company

Though not required, working with a licensed Michigan attorney or title company is often advisable—especially for probate transfers, complex parcel boundaries, disputes, or trust/estate conveyances. They can perform title searches, draft proper deed forms, and handle recording correctly noblepathlegal.com Investopedia.

9. Special Situations

Gifts or intra-family transfers: Quitclaim or life estate deeds are commonly used. Tax considerations apply depending on the value and relationship between parties.
Transfers after death: If property passes via will or through probate, affidavits or estate documents must be filed, and deeds prepared to convey title to heirs. Trust-based transfers may avoid probate altogether Dennis Buys Houses.
Trust transfers: Conveyance into or out of a trust after 1994 constitutes a transfer of ownership under Michigan law and must be recorded accordingly Michigan.gov.

Step-by-Step Recap

Order or conduct a title search to identify any liens, clouds, or encumbrances.
Choose the appropriate deed type (warranty, quitclaim, covenant, etc.).
Prepare the deed with legally compliant formatting, legal description, grantee info, consideration, disclaimers, and your notary block.
Sign and have the deed notarized in the presence of an official.
Record the deed at the local Register of Deeds—pay attention to county fees and formatting.
File Form 2766 Property Transfer Affidavit with the Michigan Department of Treasury within 45 days.
Consider title insurance to safeguard against future title defects.
If needed, engage an experienced Michigan real estate attorney to review or handle the entire process.
For transfers involving gifts, trusts, or inheritance, follow the appropriate legal and probate or trust procedures.

Why Getting It Right Matters

Legal certainty: Proper deed preparation and recording ensure clear ownership under Michigan law.
Avoid delays or disputes: Clearing liens and preparing correct documents prevents transaction hold-ups or post-closing claims.
Protect your investment: Title insurance and compliance help mitigate future risk and potential litigation.
Tax and valuation accuracy: The Affidavit ensures state and local property tax assessments reflect true ownership.

Conclusion

Transferring property title in Michigan is a structured process governed by state statutes and county rules. From conducting a title search and resolving liens to drafting and notarizing a conforming deed, recording it properly, and filing the property transfer affidavit, every step is essential. Choosing the right deed type—whether warranty, quitclaim, covenant, life estate, or trust deed—and optionally securing title insurance further protects your interests. While it’s possible to self-manage the process, consulting a real estate attorney or title professional is highly recommended for complex or high-value transactions.

Learn more about our comprehensive title insurance services here.

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Choosing the Best Title Company in Garden City

Sep 2, 2025 DJ Peterson 0 Comment

Buying a home or refinancing a property is one of the most significant financial decisions most people will make in their lifetime. From the excitement of finding the right house to the anticipation of moving in, the process is marked by numerous milestones. However, one critical step that often doesn’t get the spotlight it deserves is selecting the right title company.

If you’re purchasing property in Garden City, Michigan, your title company will be responsible for much more than just paperwork. They ensure you receive clear ownership rights, protect you from potential claims, and handle the complex details of the closing process. Choosing the best title company in Garden City can make the difference between a smooth transaction and a stressful ordeal.

In this article, we’ll break down everything you need to know about selecting the right title company in Garden City, what services they provide, and tips for making an informed decision.

What Does a Title Company Do?

A title company serves as a neutral third party in a real estate transaction. Their primary role is to protect both the buyer and the lender by ensuring that the property title is free from issues before ownership transfers. Here are their key responsibilities:

Title Search – They investigate public records to verify that the seller legally owns the property and that no one else has a claim to it.
Title Insurance – They issue title insurance policies to protect buyers and lenders against future claims or disputes.
Escrow Services – Title companies act as escrow agents, holding funds until all conditions of the sale are met.
Closing Coordination – They organize the closing day, prepare the necessary documents, and ensure all legal requirements are fulfilled.
Recording Documents – After closing, they record deeds and mortgages with the county to make the transaction official.

Without a reliable title company, you run the risk of encountering legal issues, unexpected liens, or ownership disputes down the road.

Why Choosing the Right Title Company in Garden City Matters

Garden City has a mix of established neighborhoods, new developments, and commercial real estate opportunities. Whether you’re a first-time homebuyer, a real estate investor, or refinancing your mortgage, having a trusted title company ensures:

Smooth Transactions: They prevent unnecessary delays by identifying and resolving issues early.
Peace of Mind: You know your ownership rights are fully protected.
Legal Compliance: They make sure all documents are accurate and legally binding under Michigan law.
Cost Transparency: Reputable title companies explain fees upfront, avoiding surprises at closing.

Qualities to Look for in a Garden City Title Company

Not all title companies operate the same way. When evaluating your options in Garden City, consider the following factors:

1. Local Experience and Knowledge

Real estate laws and procedures can vary from county to county. A title company with strong experience in Wayne County will be familiar with local regulations, recording practices, and neighborhood-specific issues.

2. Reputation and Reviews

Check online reviews, ask for referrals from your real estate agent, or talk to recent homebuyers in Garden City. A company with a track record of smooth closings and excellent customer service is worth prioritizing.

3. Transparency in Fees

Closing costs can add up quickly. Ensure the company provides clear explanations of its title search fees, escrow charges, and insurance premiums. Transparency upfront saves frustration later.

4. Strong Communication

Your title company should keep you updated throughout the process. Look for a company that offers prompt responses, explains complex terms in clear, straightforward language, and provides accessible support.

5. Technology and Convenience

In today’s digital age, many title companies offer electronic document signing, online portals, and secure communication channels. These tools can make the process faster and more convenient for buyers and sellers.

6. Range of Services

Some companies offer additional services, such as mobile closings, remote notarization, or dedicated support for first-time buyers. These extras can make the experience less stressful.

Common Title Issues in Garden City

While most transactions proceed smoothly without major issues, title searches occasionally reveal problems that must be addressed before closing. In Garden City, common title problems include:

Unpaid Property Taxes: Back taxes can create liens that need to be settled.
Outstanding Liens: Previous contractors or creditors may have claims against the property.
Errors in Public Records: Mistakes in deeds or recording documents can cloud ownership.
Boundary Disputes: Property line disagreements can lead to legal challenges.
Heirship Claims: Inherited properties may have multiple heirs with ownership interests.

A reputable Garden City title company will identify these issues early and work with the parties involved to clear them before closing.

Tips for Selecting the Best Title Company in Garden City

Here are practical steps to guide your decision:

Ask Your Real Estate Agent for Recommendations – Experienced agents often work with trusted title companies and can suggest reliable options.
Compare Quotes – Don’t hesitate to request estimates from multiple title companies. Compare not just price, but also the level of service offered.
Check Licensing and Insurance – Ensure the company is licensed to operate in Michigan and carries the required insurance.
Meet with Them Directly – A quick consultation can give you a feel for their professionalism and willingness to answer questions.
Read the Fine Print – Carefully review the title insurance policy and closing documents. Ask questions about anything you don’t understand.

Benefits of Working with a Local Garden City Title Company

While national companies may advertise lower fees, working with a local title company offers unique advantages:

Personalized Service: Local companies often provide a more personal touch, with staff who genuinely care about your transaction.
Community Ties: They understand the local market and maintain strong relationships with Garden City real estate agents, lenders, and attorneys.
Faster Problem-Solving: Being nearby makes it easier to resolve issues quickly, avoiding delays in closing.

Final Thoughts

Choosing the right title company in Garden City is about more than just getting through closing day—it’s about ensuring your investment is secure and your rights are protected long after the transaction is complete. By focusing on local experience, transparency, communication, and reputation, you can select a company that gives you peace of mind and a smooth real estate journey.

Whether you’re buying your first home in Garden City, refinancing an existing mortgage, or investing in property, take the time to research your options. The best title company will act as your advocate, guide you through the process, and protect one of the most important purchases of your life.

Learn more about our comprehensive title insurance services here.

Provider and Settlement Service	Charge or Range of Charges
Sonic Realty LLC	1%-6% of purchase price
Sonic Title Agency, LLC	Title Insurance Policy: $950 - $1706 on a $250,000 property. (Rates vary and are dependent on the state, selling price, and loan amount on the property.) Title Search Fee: $250 - $325 (where applicable) Closing Fee: $450 - $650
Sonic Loans Inc. This company provides various real estate mortgage loan origination activities either as a third-party originator or a mortgage broker, including loan pre-qualification, competitive bid process (when providing third-party origination services), loan origination, loan pre-approval, loan structuring, processing, and closing.	Loan Origination Charge: 0-3 % of loan amount (may include 3^rd party fees) Loan Discount Fee/points: 0.5%-6% of loan amount. Application/Processing Fee: $0.00 - $875.00 Flood and tax service: $0.00 - $95.00 Underwriting Fee: $0.00 - $1295.00 Document Review Fee: $0.00 - $400.00 Appraisal Fee: $0.00 - $850.00 Credit Report Fee: $0.00 - $135.00 Actual charges may vary according to the particular lender selected, the particular services provided, and the underlying transaction, borrower selections, etc. Some or all of these fees may be charged by third parties and/or the Member Mortgage Lender/Mortgage Broker. The Member Lenders and Mortgage Brokers have agreed to pay a fee ranging from 0.5% to 2.75% of the loan amount to Sonic Loans in connection with a range of loan origination services provided by Sonic Loans to the Member Lender/Mortgage Broker. The fees are paid either directly to Sonic Loans by the Member Lender/Mortgage Broker or billed directly to you at closing.

Provider and Settlement Service	Charge or Range of Charges
Appraisal Fee	$0-$800
Credit Report Fee	$63-$125

Archives September 2025

What Is Title Insurance?

How Title Insurance Works in Michigan

Common Title Issues in Michigan

Is Title Insurance Required in Michigan?

Cost of Title Insurance in Michigan

Benefits of Title Insurance in Michigan

Situations Where Title Insurance Proves Valuable

Do You Really Need It?

Final Thoughts

What Is Title Insurance?

What Is Homeowner’s Insurance?

The Key Differences Between Title Insurance and Homeowner’s Insurance

Why Title Insurance Matters

Why Homeowner’s Insurance Matters

Do You Really Need Both?

Tips for Homebuyers

Conclusion

1. Conducting a Title Search

2. Providing Title Insurance

3. Acting as an Escrow Agent

4. Preparing and Reviewing Closing Documents

5. Facilitating the Closing Process

Why the Title Company Matters

Tips for Working with a Title Company

Conclusion

What Is a Title Search?

Why Is a Title Search Important in Michigan?

The Step-by-Step Title Search Process in Michigan

1. Review of Public Records

2. Chain of Title Examination

3. Check for Easements and Restrictions

4. Search for Liens and Encumbrances

5. Survey and Legal Description Review

6. Report Findings

Common Issues Found in Michigan Title Searches

How Title Issues Are Resolved

The Role of Title Insurance in Michigan

How Long Does a Title Search Take in Michigan?

Final Thoughts

1. Outstanding Liens and Mortgages

2. Boundary and Survey Disputes

3. Probate and Heirship Issues

4. Errors in Public Records

5. Fraudulent or Forged Documents

6. Unreleased Prior Mortgages

7. Easements and Rights of Way

8. Undisclosed or Missing Heirs

9. Restrictive Covenants and HOA Issues

10. Unpaid Property Taxes

Final Thoughts: Protecting Yourself as a Michigan Homebuyer

What Is Title Insurance?

Why Title Insurance Matters for Michigan Homebuyers

1. Protection Against Liens and Debts

2. Guarding Against Fraud and Forgery

3. Resolving Errors in Public Records

4. Preventing Boundary Disputes

5. Inheritance and Missing Heirs

Lender’s Title Insurance vs. Owner’s Title Insurance

Michigan-Specific Considerations

Real-Life Examples of Title Problems

The Cost of Title Insurance in Michigan

Peace of Mind for Michigan Homebuyers

Final Thoughts

What Is Title Insurance?

Why Is Title Insurance Important for First-Time Buyers?

Types of Title Insurance Policies

1. Owner’s Policy

2. Lender’s Policy

How Much Does Title Insurance Cost?

What Does Title Insurance Cover?

How Does the Title Insurance Process Work?

Common Myths About Title Insurance

Tips for First-Time Buyers

The Peace of Mind Title Insurance Brings

Final Thoughts

1. Understand Key Concepts: Title, Deeds, Liens