Our team at PureTitle offers numerous tax sale solutions to help you navigate the complex property tax system in the United States. We designed our tax sale insurance services to help you secure your property and protect your title from future financial issues. We’ll demonstrate how certificate insurance services work below.
Convenient Tax Sale Insurance Services
Property purchases are investments that build long-term wealth for the buyer. However, these purchases can transform an excellent financial opportunity into a financial disaster should the buyer circumvent certain safeguards. You can protect your investment by purchasing title insurance as a safeguard. This become more complicated when the property was purchased through tax sale.
What Is a Tax Certificate?
A tax certificate provides pertinent information about a property. It serves as a report for tax authorities to reference when they need information about:
- Taxes incurred by the property
- Imposed tax liens
- Current tax exemptions
- Procured abatements
Although most people consider property purchases a solid investment, a piece of property can increase or decrease in value depending on the surrounding circumstances.
For example, say you purchased an abandoned, damaged property. You opt to fix the property to make it safe and attractive for occupants to inhabit. Therefore, that property’s value will increase and make you eligible for tax abatements.
You might qualify for an exemption if you meet certain requirements. In some areas, seniors, veterans, or property owners who meet energy incentives qualify for tax exemptions. Your tax certificate will document this data and more.
Why Do You Need Title Insurance on your tax sale?
A tax certificate title insurance policy protects you from any incurred property debt that may slip past the radar during closing procedures. Not all localities require tax certificates. Sometimes, pertinent information that can endanger a buyer’s investment can slip through the cracks. Therefore, tax certificate insurance services offer coverage that prevents the buyer from falling into a financial trap.
Why would a property purchase have financial risks outside of the agreed-upon final price? Former property owners sometimes don’t have a choice in selling their properties. In some cases, the owner was unable to pay the taxes levied upon their property by the government, which leads to:
- A “right of redemption” period during which the owner can pay the debt in full without consequences
- Forced auction or property sale following the redemption period
- The eventual buyer inheriting the unpaid tax sum or any debt attached to the property
This puts you, the new buyer, in danger of tax liens.
How do certificate insurance services protect you from these far-reaching, cyclical issues? Our coverage helps you determine any steps you should take when purchasing properties with such histories. We offer comprehensive insurance services that keep your newest investment safe and secure from unexpected financial woes that didn’t begin with you.
Our Tax Sale Insurance Services
We begin our services by providing a complete title examination, during which we investigate any attached liens, building code violations, rights concerning existing tenants, and all specifics involving property boundaries. This examination lets you know where a property currently stands before you finalize a purchase.
Then, we review the title commitment. Some properties have previous commitments attached to them, such as:
- Liens
- Building defects
- Other potential buyers showing interest in the property
- Easements that may allow other parties to use the property regardless of your wishes
This service helps you avoid properties that you can’t easily ensure.
Finally, we’ll help you close the deal securely if we find that the property meets your needs and can be protected. Our team can assist you in sorting through paperwork, signing the documents, and understanding what the documents mean for you and your purchase.
Obtain Title Insurance on your Tax Sale from PureTitle
Tax certificate insurance services, such as our title review services, allow you to make clean property purchases that come with no disastrous financial surprises. We aim to keep property buyers prepared and informed about one of the most significant purchases they’ll ever make. Call (504) 300-0520 to speak with a knowledgeable PureTitle representative.
