Buying a home in Brunswick is exciting, whether you’re moving into town or securing a peaceful place by the water. You also want to be certain the property you buy is truly yours. That’s where title insurance comes in. It helps protect you from hidden problems in the property’s past that could threaten your ownership later. In this guide, you’ll learn what title insurance covers, how lender and owner policies differ, what to watch for with coastal and riverfront properties, and how to estimate costs and next steps with confidence. Let’s dive in.
What title insurance covers
Title insurance protects you from financial loss caused by defects in the chain of title that existed before you closed. Common examples include forged signatures, recording errors, undisclosed heirs, unpaid taxes or liens, unrecorded easements, and incorrect legal descriptions.
Unlike homeowners insurance, which covers future events like fire or wind, title insurance looks backward at past risks tied to the ownership record. If a covered issue surfaces after you buy, the insurer typically defends your ownership and pays valid losses up to the policy limit.
You pay for title insurance once at closing. An owner’s policy lasts as long as you or your heirs hold an interest in the property. A lender’s policy lasts until the mortgage is paid off or refinanced.
How the policy gets issued
Before closing, a title company completes a search of public records to find recorded liens, easements, mortgages, judgments, and other encumbrances. You’ll receive a title commitment that lists what the insurer will cover and any exceptions or requirements that must be cleared before issuing the final policy.
A careful search reduces risk, but it cannot eliminate every possible problem. The insurance is there to protect you against what a search cannot find, or what wasn’t recorded correctly.
Lender vs. owner policies
Most buyers see two policy options. Understanding the difference helps you make a confident choice.
Lender’s title insurance
- Purpose: Protects the lender’s interest in your property up to the loan amount.
- Requirement: Typically required by your mortgage lender to fund the loan.
- Duration: Remains in effect until the loan is paid off or refinanced.
- Limitation: Does not protect your equity or personal ownership rights.
Owner’s title insurance
- Purpose: Protects your equity and legal ownership up to the policy amount, usually the purchase price.
- Benefit: Covers legal defense and valid losses if a covered title defect appears after closing.
- Transferability: Often transferable to heirs and sometimes to future owners up to the original amount. You should confirm this in the policy language.
- Purchase: Optional, but strongly recommended because it protects your investment directly.
Buying both at once
Many buyers purchase both policies at the same time. Title companies commonly offer combined or simultaneous-issue pricing when you do. Who pays for the owner’s policy can vary by local custom and your purchase agreement, so clarify this during negotiations.
Why Brunswick waterfronts need extra care
Brunswick sits where rivers meet the sea, with tidal coves, riverfront stretches, and access to Merrymeeting Bay. Waterfront and near-water parcels add unique title and permitting layers that you should review early in your purchase.
Here are common issues that show up in waterfront title work:
- Shoreline boundaries: Ownership can be defined by mean high-water or mean low-water lines depending on local law. Natural change along the shore can affect boundaries over time.
- Riparian and littoral rights: Access to the water, the ability to moor or build a dock, and use of the shoreline may be limited by deed language, town ordinances, or state rules.
- Accretion and avulsion: Gradual versus sudden changes to the shoreline can shift where legal boundaries lie, which may lead to disputes.
- Docks, piers, and moorings: Existing structures or use rights may need permits or leases. Not all are recorded in the land records the same way a deed is.
- Public access paths: Historic footpaths or municipal access points may affect how you can use the property.
- Conservation easements: Conservation restrictions can limit development, docking, or septic placement. These are often recorded and must be honored.
- Shoreland zoning and setbacks: State and local rules govern building envelopes, vegetation clearing, and septic systems near the water.
- Submerged lands and leases: Bottomlands and certain uses may be held or licensed by the state or local authorities.
- Flood zones: Many waterfront properties fall in FEMA flood zones and may require flood insurance or elevation certificates.
- Access via private roads: Shared private ways may have maintenance obligations or old, informal agreements that can affect long-term use.
A standard owner’s policy addresses recorded matters identified in the search, but many waterfront or off-record issues are limited or excluded unless you add endorsements or clear them before closing.
Endorsements worth considering
Endorsements expand coverage for specific risks. For Brunswick waterfront or near-water properties, consider these options with your title and closing team:
- Survey or “location” endorsement: Helps cover losses tied to certain survey matters or boundary discrepancies that the base policy excludes.
- Access endorsement: Confirms you have legal access to the property from a public road.
- Zoning or subdivision endorsement: Offers limited protection where basic policies exclude zoning or subdivision issues. Exact terms vary.
- Easements and restrictions endorsement: Addresses recorded easements or use restrictions so you understand impacts to future use.
Endorsements cost extra. They are tailored to your property, the title commitment, and your lender’s requirements.
Costs, who pays, and timing in Maine
Title-related costs at closing generally include the title search and commitment fee, settlement or closing fee, recording fees with the Cumberland County Registry of Deeds, and the one-time premiums for the lender’s and owner’s policies. Endorsements, if added, carry separate fees.
Premiums vary by insurer and purchase price. The Maine Bureau of Insurance regulates licensed title insurers, and local title companies can provide written quotes. Ask for clear line items for the owner’s policy, lender’s policy, endorsements, and all title and recording fees.
Who pays for the owner’s policy can be a matter of negotiation. Customs differ by region, and practices can shift with market conditions. In Brunswick, confirm the norm with your agent and closing attorney or title company early and write it into your offer.
Order the title search as soon as you sign the purchase agreement. Early review helps you resolve issues, request endorsements, schedule any needed survey work, and keep your closing on track.
Your Brunswick title checklist
Use this as a practical roadmap, especially if you’re buying along the coast or river:
- Order a full title search and request the title commitment early in escrow.
- Ask for an owner’s policy and a simultaneous-issue quote if your lender requires a lender’s policy.
- Request endorsements for survey/location and access, and consider endorsements related to easements or restrictions.
- Obtain or update a survey showing tidal lines, structures, encroachments, and access points.
- Review FEMA flood maps and confirm whether flood insurance or an elevation certificate is required.
- Confirm any dock, pier, or mooring permits with the appropriate state or municipal authority.
- Review recorded conservation easements and shoreland zoning requirements with Town of Brunswick planning and code enforcement.
- Check the Cumberland County Registry of Deeds for easements, rights-of-way, and any active liens or judgments.
- Verify whether any submerged lands leases exist and whether they transfer or require renewal.
- Clarify who pays for the owner’s policy and note it in your purchase and sale agreement.
- Store the final policy and closing documents in a secure place after closing.
How to read your title commitment
Your title commitment is your roadmap to closing. It outlines what the insurer will cover and the conditions to issue the final policy.
- Start with Schedule A: This shows the buyer’s name, legal description, and proposed policy amounts for lender and owner coverage.
- Review Schedule B exceptions: These are items not covered unless cleared or endorsed. Pay attention to access rights, easements, restrictions, and any tidal or shoreline notes.
- Confirm requirements: These are tasks the parties must complete before closing, such as releasing a prior mortgage or resolving a lien.
If something is unclear, ask your title officer or closing attorney to explain it in plain language. You want no surprises after closing.
What to do if a claim arises
If you discover a potential title problem after closing, notify your title insurer right away. The insurer typically investigates, provides a legal defense if it’s a covered matter, and pays valid losses up to your policy limit. Keep your policy number and documents handy so you can start the process quickly.
Bringing it all together
Title insurance gives you peace of mind that your Brunswick home is protected against hidden risks from the past. With the right owner’s policy, smart endorsements, and a careful review of the title commitment, you can close with confidence and enjoy the best of coastal Maine living.
If you’re weighing options or have questions about a specific property, connect with Colin Harvey. He can help you navigate local customs, introduce trusted title and survey pros, and coordinate the details so your closing is smooth from start to finish.
FAQs
Do Brunswick buyers need owner’s title insurance if the lender requires a policy?
- A lender’s policy only protects the lender’s interest; an owner’s policy protects your equity and legal ownership, which is why it’s recommended.
How is title insurance different from homeowners insurance for Maine properties?
- Homeowners insurance covers future events like fire or wind; title insurance covers past defects in the chain of title that surface after you buy.
Are waterfront and riverfront issues covered by a standard owner’s policy?
- Many waterfront-specific risks are limited or excluded unless addressed with endorsements, surveys, and resolution of recorded issues before closing.
Who typically pays for the owner’s policy in Brunswick transactions?
- It depends on local custom and negotiation; confirm with your agent and closing team and write it into your offer.
What costs should I expect for title work at a Cumberland County closing?
- Expect a title search and commitment fee, settlement fee, recording fees, lender’s policy premium, optional owner’s policy premium, and any endorsement fees.
What’s the process if a title defect is found after closing in Maine?
- Notify the title insurer promptly; they typically investigate, defend covered claims, and pay valid losses up to your policy limit, subject to exceptions and exclusions.
