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Updated almost 10 years ago on . Most recent reply

User Stats

21
Posts
4
Votes
Zeng Fan
  • Investor
  • Great Neck, NY
4
Votes |
21
Posts

Title insurance commiment question

Zeng Fan
  • Investor
  • Great Neck, NY
Posted

Hi Biggerpockets

I am in the process of closing my first investment property in philadelphia. Received the title insurance commitment file from the title company in which there is a section called "EXCEPTION". Under the exception part, it states that the title insurance does NOT cover any unrecorded liens and etc that may emerge. Is this normal? I thought the whole purpose of purchasing a title insurance is to protect buyer's best interests. The second question is that if this is the standard situation, what are some possible situations or scenarios that belong to unrecorded liens or problems that the insurance does not cover?

Thank you for your support!

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