Hi, I am in the process of purchasing in Perth. I would be interested in the forum's views on Title Insurance. Reading up I don't think it is necessary but hey what do I know? S.
If its an older area that's had a few changes over the years which may have impacted the property boundaries they maybe out, a neighbors fence or worse maybe a meter inside your boundary etc, won't know until you have it surveyed which short term until you need it (if) costs allot more than Title Insurance. E.g; A property I just purchased was once part of a large farm, then a smaller farm, then it was ~5 acres, then it was ~3000sqrs with street frontage front and back, the same owner then built 5 units on it then later split the block into two titles, when purchasing one of them I could only assume he put the fence on the boundary rather than where it suited him at the time (a meter off an old fishing cabin/shed), its now an R60, when it comes time to redevelop and find the boundaries are out a few hundred bucks I paid for Title Insurance will look after it for me.
I think title insurance would be worth the peace. I took it out recently for a property that I purchased and always tell my clients buying established houses that its a good idea. The solicitor that we work with advises all there clients to take it out as well.
We took out Title Insurance when we purchased our first IP last year. Lucky we did too.... Received a Water Bill shortly after settlement for several hundred dollars, with charges relating to previous quarter (pre settlement date), clearly not ours to pay. So you'd think anyway. Water Company advised that the account stays with the property and is therefore the responsibility of the current owner. We even had a report where water company advised NIL $ owing prior to settlement, but they still wouldn't wipe the bill, even though it was their error. Ended up paying the damn bill after a few months of getting nowhere. Turned out that we were able to make a claim for reimbursement through the Title Insurance we'd taken out. Claim process was stress-free and no-fuss. Cheque was received shortly after. Claim was for more than it cost us to take out Title Insurance, so I figure it was worth taking out.
