Mexico vows to keep looking for ‘lost’ island: a reminder why you want title insurance

“Isla Bermeja” appears on maps from the 1700’s near the Yucatan peninsula in Mexico. But nobody knows where it really is, if exists at all. The Mexican government want’s to use it to establish the border to Mexico, and take ownership of some oil rich deposits, that otherwise lie in international waters. Title to these deposits is in dispute, and oil puts a lot of money at stake.

A house is typically the largest purchase a person will make in a life time. It would be distressing to find out that someone else claims ownership of your house. Maybe the sellers thought they owned it, but some technicallity proves otherwise. More typically, a shed or a corner of the garage might cross into someone else’s land. In either case, your quiet enjoyment of your home is in jeopardy. When you buy a home with a mortgage, the bank has you pay for a title insurance policy that protects them from such title worries. But, this does not protect your equity, only the portion still owed to the bank. Your title company will have offered you an owners policy. Not everyone gets one, since it is not required. It is that policy which will come to your defense when your neighbor says your home is on their property. Maybe you will be fine, but that lost island is a reminder why you might want your own title insurance policy.

Read more about the lost island.

Photo credit, Wonderlane.

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