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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: J_F_Shepard who wrote (964216)	9/14/2016 2:53:07 PM
From: Broken_Clock	Read Replies (2) \| Respond to of 1576600

The lender requires the borrower to pay for the lender's TI I have seen many cases of TI coming into play. What many people don't know is that TI only covers the amount one pays for the property. Example: I buy a home in SF for $500,000 in 1997 Today it's worth $2,250,000 A glitch shows up in the title and the Title company attys go to court and lose. The TI policy pays me $500,000, not what the home is worth today. As your homes increases in value, a prudent homeowner should also increase his/her TI policy. You should also read it and see what is NOT covered. Gov't seizure is not covered. if you bought your home and later had it seized by the gov't because an owner previous to you had acquired the home through drug money profits….you get nada. Today there are class action lawsuits across the country because of robo-signing and illegal and/or sloppy foreclosure practices. Many folks that bought and flipped REO's are getting caught up in the suits. One case here: Bought for 150k then put 200k hard cash into the fixup. Now worth 450k. The week before listing they were hit with a lis pendens which essentially freezes them in place until the lawsuit is decided. TI companies are estimating 10 years because the losses to cave into the class action could bankrupt the TI companies. In this case, the owners have a TI policy of only $150k so if, in ten years, the TI companies lose, the owners leave the home(still paying the mortgage all this time) get only $150k and lose the 200k they put in.