Submitted by Anonymous on Tue, 03/30/2010 - 10:11
Posted in
Does buyer's title insurance cover any costs to remedy or defend against encroachment suits?
I bought my house last year that has a relatively new stone fence/wall (a few years old). The abutting property owner is claiming that the wall is on their land (they have some survey evidence to back this up). Will the title insurance cover any costs associated with legal expenses or (re)moving the wall?
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Editor's Response
Even if you purchased a buyer's title insurance policy, those policies usually have certain exclusions. One of the most common exclusion is for any defect that would have been revealed by a survey of the property, such as a wall or fence located on the wrong side of the boundary. However, if you are talking about a very large sum of money, it might be worth showing the policy to a real estate attorney in your neck of the woods to get an opinion. Good luck.