Do many people actually lose their homes because of title defects?
Not if they have title insurance. Title companies realize how important it is to homeowners to keep their homes. Therefore, when an insured title is found to be defective, the title company does everything possible to perfect the title. Often it is necessary for the insurance company to purchase a claimants rights in the property and transfer them to the insured. This is practically always possible when only a partial interest is outstanding.
