Buying a home in Wayne County and seeing “title insurance” on your closing estimate? You are not alone. Title terms can feel technical, and you do not want surprises after you close. In this guide, you will learn what title insurance covers, how owner and lender policies differ, what to watch for in your title commitment, and how the Wayne County closing process works. Let’s dive in.

What title insurance covers

Title insurance protects you from covered losses caused by defects in the property’s title that existed before you closed. It is different from homeowner’s insurance, which covers future events like fire or theft. With title insurance, you pay a one-time premium at closing and coverage lasts for as long as you or your heirs hold an interest in the property.

Typical covered risks include forged or fraudulent documents in the chain of title, unknown heirs, mistakes in public records, existing liens not discovered before closing, undisclosed easements, or incorrect marital statements. Common exclusions include issues created after your policy date, zoning or code violations, eminent domain, certain unrecorded easements, and defects you knew about at closing unless the policy expressly covers them. Ask about endorsements if you need added protection for specific risks.

Owner vs. lender policies

Here is the simple framework: a lender’s policy protects the bank, and an owner’s policy protects you.

• Lender’s policy: Usually required by your mortgage lender. It protects the lender’s security interest up to the outstanding loan balance. It does not protect your equity.
• Owner’s policy: Optional but strongly recommended. It protects your ownership and equity against covered title defects that surface after closing but existed before the policy date.
• Separate policies: These policies are separate. A lender will require a lender’s policy. You should request and pay for an owner’s policy if you want personal protection.

How the title process works in Wayne County

• Title search and exam: After you sign a purchase agreement and a title company is chosen, the title company searches public records for deeds, mortgages, judgments, tax and utility liens, easements, and probate records. The goal is to confirm the chain of title and flag defects.
• Title commitment: The company issues a title commitment that outlines exceptions (what the policy will not cover), requirements to close, and documents to be recorded. Review this carefully so you know what must be cleared before recording.
• Curative steps: If defects are found, the title company coordinates curative work, such as paying off liens, obtaining releases, fixing documents, or finalizing probate items. Curative work can extend your closing timeline.
• Closing and recording: At closing, you sign the deed, mortgage, and related documents. These are recorded with the Wayne County Register of Deeds, which perfects your legal title. You should confirm current recording procedures and turnaround with the Wayne County Register of Deeds.

Who selects the title company? In Michigan, either party can propose a title company. Local custom varies, and some sellers or listing agents have a preferred company. If you are financing the purchase, confirm that your lender accepts your chosen title company.

Typical timeline: Many Wayne County purchases close in 30 to 45 days. Actual timing depends on financing, inspections, seller readiness, and any curative work needed to clear title.

Common Wayne County title issues

In a large, older market like Wayne County, a few specific issues come up often:

• Unpaid property taxes, special assessments, or municipal utility liens.
• Judgment liens or outstanding civil judgments against prior owners.
• Contractor or mechanic’s liens from unpaid work.
• Probate gaps that leave missing signatures or incomplete transfers.
• Multiple conveyances, quitclaim histories, and parcel splits that create boundary or description ambiguities.
• Vacant or historically tax-delinquent properties with tax foreclosure history or county-held claims.

These are not deal-breakers by default, but they often require documented payoffs, releases, or corrected instruments before closing.

Costs and who pays

Both owner and lender policies carry a one-time premium at closing. The owner policy premium is based primarily on the purchase price. The lender policy premium is based on the loan amount and is typically lower. In Michigan, payment for the owner’s policy can be negotiated and varies by local custom, while buyers typically pay for the lender’s policy as part of their loan requirements.

Premiums and available endorsements vary by underwriter and state. For accurate numbers, request a written quote from your title company rather than relying on estimates. Remember to budget for related line items like recording fees, escrow or closing fees, release and payoff processing, tax prorations, and any curative costs needed to clear defects.

How to read your title commitment

Your title commitment is the road map to a clean closing. Focus on these items:

• Schedule of exceptions: What the policy will not cover unless cleared or endorsed. Examples include recorded easements, existing liens, or survey-related exceptions.
• Requirements: The action items needed to close, such as payoff statements, releases of judgment liens, corrected deeds, or affidavits.
• Recorded matters: Any liens, easements, or restrictions that will remain after closing and affect ongoing ownership.

If something is unclear, ask the title officer, your lender, or your agent to explain it in plain language. Catching issues early keeps your closing on track.

Buyer checklist: contract to post-closing

Use this simple list to stay organized.

Before and during contract:

• Choose or agree on a title company early and confirm your lender accepts it.
• Request a written quote for both owner and lender title policies.

When you receive the title commitment:

• Review the exceptions, requirements, and any recorded liens, judgments, or easements.
• Ask the seller to clear unpaid taxes, liens, or judgments before closing, or document a plan in writing.

Survey and boundary concerns:

• If boundaries, encroachments, or access easements matter, order a current survey.
• If no survey is used, consider a survey-related endorsement on your owner’s policy.

At closing:

• Confirm you will receive an owner’s title policy, the final title commitment, and recorded documents when available.
• Verify recording steps and the timing to receive your recorded deed.

After closing:

• Confirm property taxes were prorated correctly and that the county has your correct mailing information for tax bills.
• Store your recorded deed and owner’s policy in a safe place.

Surveys and endorsements in Michigan

Lenders often require a survey or a survey-related endorsement to limit survey risks. If a recent boundary survey exists, it can help the title company remove certain exceptions and issue extended coverage. Ask your lender what they require and discuss with the title company which endorsements are available for your property and loan type.

If a title problem appears

If the title search uncovers a lien or defect, insist on a clear plan before closing. Options include a seller payoff, a recorded release, a corrective deed, or an escrow holdback with written instructions. If the issue cannot be cured before closing, consider a price adjustment or a specific endorsement or escrow arrangement documented in a contract addendum.

If a new problem is discovered after closing, contact your title insurer. Title insurance includes a defense obligation for covered claims and indemnity for covered losses up to your policy limits.

Local resources and next steps

• Recording procedures and fees: Check the Wayne County Register of Deeds for current recording practices and fee schedules.
• Title insurance basics and regulation: Review consumer guidance from the Michigan Department of Insurance and Financial Services.
• Understanding owner vs. lender coverage: See the CFPB’s overview of what title insurance covers and how it works.

If you want help understanding your title commitment or walking through contract-to-close steps, schedule a contract-to-close consultation with a local real estate professional. For hands-on guidance that blends insurance know-how with practical, Wayne County experience, connect with Surline Real Estate.

FAQs

Do I need an owner’s policy if my lender requires a lender’s policy?

• Yes. A lender’s policy protects only the lender’s interest, while an owner’s policy protects your equity and rights as the owner.

When will I receive my owner’s title policy after a Wayne County closing?

• Typically after the deed and mortgage are recorded with the county; the title company then issues the final policy reflecting recorded matters.

What happens if a title issue is found after I close on my home?

• Contact your title insurer; they provide a defense for covered claims and indemnify covered losses up to your policy limits.

Can a known title defect be insured so I can still close?

• Known defects are generally excluded unless cured, but some issues can be removed with recorded corrections or addressed with specific endorsements or escrow arrangements.

How long does title insurance coverage last for a Wayne County homeowner?

• An owner’s policy lasts as long as you or your heirs hold title, while a lender’s policy lasts until the loan is paid off.