Aviso: Este articulo esta en ingles ¿Necesitas español? Llámenos al Las Vegas: (702) 850-7711 o Memphis: (901) 306-8100.
Have you ever heard of a title guarantee? If so, you may be wondering about the difference between a title guarantee and a bonded title.
Although this article is about title guarantees, we do want to explain the difference to help readers avoid any confusion.
A title bond is a surety bond that offers assurance to the obligee (a person’s state of residence) that a vehicle is rightfully owned by the principal (the person who has the vehicle). Title bonds are required when the vehicle’s owner does not have access to the original title. But once the owner gets a title bond, they can then register for what is known as a “bonded vehicle title” at the DMV.
A title guarantee (titulo de garantia), on the other hand, is a type of insurance that protects a property owner’s interest in a given property. The policyholder is guaranteed to receive a clear and marketable title.
More About Title Guarantee Insurance
There are two main types of title guarantees—full and limited.
A full title guarantee ensures that a seller has the legal right to sell a property. It also guarantees that the property does not have any third-party charges or encumbrances on it.
These guarantees are critical to the buyer since it is possible that someone may come along and claim that they have rights to the property, causing a dispute.
By contrast, a limited title guarantee is used when the seller does not have personal knowledge of the property, which means there is no guarantee that the title is clear.
Getting Bonded And Insured
Getting a title guarantee for your real estate purchase is important, but it is also a significant financial decision.
For more information about getting a title guarantee with us, Call All N One Bonding and Insurance at 702-850-7711 (Las Vegas) or 901-306-8100 (Memphis). We are a full-service bonding and insurance company that you can trust.