One small oversight in a property’s past can become a big bill after you close. That is why title insurance matters when you buy or sell in Washington Court House and across Fayette County. You want to protect your equity, avoid surprises at the Recorder’s counter, and walk away from closing with confidence.

In this guide, you will learn what title insurance covers, the difference between an owner’s and a lender’s policy, how Fayette County closings typically work, and how to read your Closing Disclosure. You will also get practical steps to keep your transaction on track. Let’s dive in.

Title insurance basics

Title insurance protects you from financial loss caused by defects in the property’s title that existed when your policy was issued. Unlike a warranty deed, title insurance is coverage for losses and, when applicable, legal defense costs if a covered claim arises. It helps you keep your ownership secure if undiscovered problems surface later.

Owner’s policy: protect your equity

An owner’s policy protects your right to use, enjoy, and sell the property. You pay a one-time premium at closing. Coverage usually lasts as long as you or your heirs have an interest in the home. The coverage amount is often the purchase price or insured value.

If a covered title defect shows up later, an owner’s policy can help pay for legal defense and covered losses. It protects you, not your lender or future buyers. If you plan to build equity and keep your options open, this policy is the safety net for your ownership.

Lender’s policy: protect the loan

When you finance a purchase, your lender typically requires a lender’s title policy. It protects the lender’s security interest in the property for the amount of the loan. You pay the premium once at closing, and coverage lasts until the mortgage is paid off or otherwise ends.

A lender’s policy does not protect your equity. It exists to protect the loan. If you want protection for your ownership, you should consider an owner’s policy in addition to the lender’s policy.

Why you often need both

If you only have a lender’s policy, you are exposed to risks that threaten your ownership or equity. Title professionals and consumer guidance recommend that buyers consider both policies. Together, they cover different interests in the same property: your equity and the lender’s loan.

What title insurance covers

Every policy has its own terms, but most title insurance addresses hidden or hard-to-find defects. Common covered risks include:

• Errors or omissions in public records, such as an improperly recorded release.
• Forged or fraudulent signatures on deeds, releases, or wills.
• Unknown heirs or incorrect marital status that affects ownership.
• Unpaid liens tied to the property, such as prior taxes, contractor liens, or judgments.
• Incorrect indexing or misfiled documents in the public record.

Coverage always depends on the policy form and any endorsements you add. Your title company will provide the policy and explain its terms before or after closing.

What title insurance does not cover

Title insurance has standard exclusions and exceptions. Knowing these helps you decide whether to order endorsements or a survey.

Standard exclusions to know

• Matters listed as exceptions on the policy, such as recorded easements or covenants.
• Zoning or building code compliance. Title coverage does not insure land-use compliance.
• Physical or survey issues, like encroachments, that a site visit or survey would reveal.
• Defects you knew about and did not disclose to the title company.
• Environmental contamination or hazardous waste.
• Rights of parties in possession, such as tenants, unless specifically insured.

Endorsements that can help

You can often add endorsements to insure against specific risks. Common choices include survey or boundary endorsements, access endorsements, mechanic’s lien coverage for certain improvements, and limited zoning-related endorsements. Availability and cost vary by insurer and by state.

Title commitment and exceptions

Before closing, the title company issues a title commitment. This document lists the exceptions and the requirements to clear title so the company can issue a policy. Review it with care. Items like old liens, unreleased mortgages, or missing documents are common and must be addressed before closing.

How closings work in Fayette County

The process is similar across Ohio, with small differences by title company or attorney. Here is the typical path from contract to keys for a Washington Court House purchase.

Step-by-step timeline

1. Purchase agreement signed. The buyer’s lender and the parties order title work.

2. Title search and exam. The title company searches public records, including deeds, mortgages, liens, judgments, probate, and taxes.

3. Title commitment issued. It lists exceptions and requirements to clear before closing.

4. Clearing title issues. Sellers address liens or judgments, provide affidavits, and request mortgage payoffs.

5. Closing figures prepared. The lender drafts the Closing Disclosure for financed buyers. The title company prepares settlement statements and the deed.

6. Closing appointment. You sign documents, and the buyer brings cash to close by certified funds or wire, following the title company’s instructions.

7. Recording. The title company records the deed and any mortgage with the Fayette County Recorder’s Office. Recording makes the transfer official.

8. Policy issuance. After recording and final checks, the title company issues the owner’s and lender’s policies.

Who manages your closing

In Ohio, closings are handled by title companies, settlement agents, or attorneys licensed in the state. Your chosen title company coordinates with the Fayette County Recorder for recording and with the County Auditor for parcel and tax verification.

Recording and taxes

Recording fees and processing times are set locally. Ask your title company to confirm current fees and turnaround expectations with the Recorder’s Office. At closing, property taxes and any assessments are prorated and paid as needed so you take title with a clean slate.

How to read your Closing Disclosure

Most financed buyers receive a Closing Disclosure at least three business days before closing, under federal TRID rules. Sellers receive a settlement statement with their figures. Use this period to review, ask questions, and verify the cash you need to bring to closing.

Key sections to check

• Loan Terms and Projected Payments if you have a mortgage.
• Closing Costs and Cash to Close.
• Title-related items, such as title insurance premiums, settlement fees, notary and recording fees, and transfer taxes if applicable.

Where title fees appear

Title charges can show as separate line items. You may see the lender’s title insurance premium and, if you choose it, the owner’s title insurance premium. You will also see a settlement or closing fee, along with recording and notary charges.

Action items before you sign

• Confirm who pays each title premium based on your purchase contract and local practice.
• Compare the CD to prior estimates and the settlement statement from the title company.
• Verify the wire amount and instructions with a trusted phone number, not email.

Practical tips for buyers and sellers

Small proactive steps can prevent last-minute surprises.

Who pays for which policy

Payment is set by your purchase contract, and local custom can vary. Buyers often pay for the lender’s policy when there is a loan. The owner’s policy is negotiable. Confirm in writing early and make sure the CD or settlement statement matches your contract.

Common title issues and solutions

• Unpaid taxes or judgments. These are usually paid at or before closing with verified payoff figures.
• Old mortgages not released. The title company may need a reconveyance or corrective documents.
• Easements or access questions. You might add endorsements, negotiate a fix, or accept the exception after review.
• Probate or heir concerns. Extra documentation or a court order may be needed to clear title.

Survey decisions

Title insurance often excludes boundary disputes unless you add a survey-related endorsement. If you are buying acreage, rural property, or a lot with close lot lines, consider getting a current survey and ask your title company about available endorsements.

Wire fraud safety

Wire-fraud schemes target real estate closings. Protect yourself by calling the title company at a verified phone number to confirm wiring instructions. Never rely only on an email for final instructions, and do not send funds until you confirm details by phone.

Keep the timeline smooth

• Request the title commitment early and review it promptly.
• Share required IDs, loan payoff info, and any HOA details quickly.
• Ask for an itemized settlement statement ahead of closing and compare it to your CD.
• If an issue threatens the schedule, ask for a written plan and timeline to resolve it.

When to involve an attorney

If you see complex encumbrances, boundary disputes, or probate questions, ask the title company to explain the issue and consider guidance from an Ohio real estate attorney. Early advice often saves time and stress.

Simple closing checklists

Buyer’s checklist

• Review the title commitment and ask questions about exceptions.
• Decide on an owner’s policy and any endorsements you want.
• Order or update a survey if boundaries or access are a concern.
• Review your Closing Disclosure within the three-business-day window.
• Verify who pays which title charges based on the contract.
• Confirm wire instructions by phone with the title company.
• Bring certified funds or wire your cash to close on time.

Seller’s checklist

• Gather mortgage payoff details and deliver them to the title company.
• Resolve known liens, judgments, or permits and provide documents early.
• Confirm prorated taxes and any assessments with the title company.
• Review your settlement statement for accuracy.
• Bring required IDs and any keys, remotes, or codes the buyer should receive.
• Keep all communication lines open in the final week before closing.

Ready to close with confidence?

Title insurance is one of the simplest ways to protect your investment in Washington Court House. When you pair a clear title commitment, a careful review of your Closing Disclosure, and smart wire safeguards, you set yourself up for a smooth, low-stress closing.

If you are planning to buy or sell in Fayette County or central Ohio and want a steady guide from contract to keys, reach out to Keli Fisher. You will get clear next steps and local support tailored to your timeline.

FAQs

What is title insurance for Washington Court House buyers?

• It is a one-time premium policy that helps protect you from financial loss due to covered title defects that existed when the policy was issued.

What does an owner’s title policy generally cover in Ohio?

• It typically covers losses and certain legal defense costs from covered defects like fraud, undisclosed heirs, or unknown liens that affect your ownership.

Do I need a lender’s policy if I pay cash for a home?

• No, a lender’s policy protects a mortgage lender’s interest, so it applies only when there is a loan; cash buyers consider an owner’s policy for their own protection.

Who usually pays for owner’s and lender’s title insurance in Fayette County?

• Payment is set by the purchase contract and local custom can vary; confirm responsibilities in writing with your title company and agent.

Where do title insurance fees show on the Closing Disclosure?

• Title premiums and settlement/closing fees appear in the closing costs section, with recording and notary fees listed alongside other government charges.

What should I do if the title commitment shows a problem?

• Ask the title company for the steps to clear it, provide any documents they need, and, if the issue is complex, consider advice from an Ohio real estate attorney.