What is survey coverage and why do you need it?
Information for
R16 Endorsement - Minimize your risk
Survey coverage is additional title insurance coverage which protects the buyer against errors on the survey. In accordance with the terms of the policy, benefits to the buyer may include coverage and payment of loss arising out of the following, unless exception to such matters is taken in the policy:
Dispute with adjoining landowners over location of boundary lines,
Forced removal of improvements located across boundary lines,
Forced removal of driveways encroaching onto adjoining property,
Encroachment of improvements into easements or building setback lines.
A buyer who does not obtain a new survey but relies on a previous survey would be well advised to purchase this coverage.
WHAT IS THE BEST PROTECTION FOR A BUYER?
THE BEST PROTECTION FOR A BUYER IS TO:
OBTAIN A NEW SURVEY
&
PURCHASE SURVEY COVERAGE
Reason: If there is an error on the survey, the Buyer may have possible recourse against the seller, the surveyor and the title company.
THE SECOND BEST PROTECTION FOR A BUYER IS TO:
OBTAIN A NEW SURVEY
&
DO NOT PURCHASE SURVEY COVERAGE
Reason: If there is an error on the survey, the Buyer may have possible recourse against the seller and the surveyor.
THE THIRD BEST PROTECTION FOR A BUYER IS TO:
USE AN EXISTING SURVEY WITH SELLER'S AFFIDAVIT
&
PURCHASE SURVEY COVERAGE
Reason: If there is an error on the survey, the buyer may have possible recourse against the seller and the title company.
THE LEAST PROTECTION FOR A BUYER IS TO:
USE AN EXISTING SURVEY WITH SELLER'S AFFIDAVIT
&
DO NOT PURCHASE SURVEY COVERAGE
Reason: If there is an error on the survey, the buyer may have possible recourse only against the seller.
It's a good idea to obtain the additional insurance at such a low price (just 5% of the basic title premium). As an example, on a $150,000 home, this additional coverage would only amount to $57.35.
- From Chicago Title
Additional Information about Survey Coverage
In the market to buy or sell real estate in Navarro, Ellis, Hill, Limestone or Freestone County? Give us a call today. Robert Phipps, Broker - Blue Sky Country
