DC Notice of Availability of Owner's Title Insurance

Notice of Availability of Owner's Title Insurance

In connection with your purchase of real property in Washington, D.C. a title insurance policy will be issued insuring your lender. This title insurance policy only insures your lender and does not insure you as a purchaser of real property. Therefore, you may wish to obtain title insurance coverage. Title insurance will insure you against loss or damage resulting from defects in the title and pay defense costs in the event of a challenge to your title. “Defects in title” include, but are not limited to:

• liens (or claims) asserted by others (including creditors of prior owners).
• physical or legal encroachments on your property.
• ownership interests vested in others (such as missing or unknown heirs of prior owners).
• mechanic’s liens—liens which are filed by contractors and suppliers who have furnished labor and materials for your property.

The cost to obtain an owner’s title insurance policy will depend on the purchase price for your property and whether you chose a policy with enhanced coverages. A schedule of our current charges is attached hereto as Exhibit A.

Unless you should request otherwise, an owners policy with enhanced coverages will be issued whenever possible.* See the attachment to this form for a chart comparing the standard and enhanced owner’s policy coverages.

 Owner’s title insurance protection accepted.

 I/we do not want the owner’s policy with enhanced coverages and want the standard owner’s policy.

 Owner’s title insurance protection declined.

I/we acknowledge that I/we have been notified that I/we may wish to obtain owner’s title insurance coverage, and that I/we have been notified of the general nature of such coverage, and that I/we have chosen the insurance coverage option as indicated above.

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Purchaser

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Purchaser

*NOTE: FOR AN ENHANCED OWNERS POLICY TO BE ISSUED, THE PROPERTY MUST MEET THE FOLLOWING CRITERIA:

• The property to be insured must be a completed one-to-four family residential dwelling or condominium unit. Note: The Enhanced Owners Policy is not available for unimproved property, commercial property, or residential property on which there is ongoing construction.
• If the property to be insured involves newly constructed improvements, a final Certificate of Occupancy must be provided.
• The property to be insured must be platted (and the plat must be recorded), contain 25 acres or less, and have a valid street address.
• An additional premium of approximately 20% must be collected.
• The property must have vehicular and pedestrian access based upon a legal right.
• If the property does not comply with the above criteria, certain coverages in the ALTA Homeowners Policy (2008) may be deleted, or an ALTA Standard Owners Policy (2006) may be issued in lieu of the ALTA Homeowners Policy.

Title Insurance for the Future

There are few things more important than protecting your home.  Owner’s Title Insurance has been offered for more than 150 years, because even the best title search and examination cannot protect your equity and home from matters not appearing in the public record.

The standard policy covers you for defects and liens in the history of  your title through the date and time your Deed is recorded in the public records.  The ALTA Homeowner’s Policy of Title Insurance provides coverage for many additional risks, including some which might occur after the deed is recorded.

Below is a coverage comparison that will help you decide which policy is the best for you to protect your ownership in your home.

For Comparison Purposes Only.  Both policies contain insuring provisions, conditions, stipulations, exclusions & exceptions as set out by the individual underwriter and the American Land Title Association.

EXHIBIT A

TITLE INSURANCE PREMIUMS