So excited, as you should be – It’s natural to be super excited whether it’s a first cash home purchase, a second home cash purchase, or just a different home. Frequently with all of the hustle and bustle when paying cash there’s something that can be forgotten and it’s extremely important!
Outside lender is your friend – When you have any kind of outside liability like a mortgage on a property, your lender is your protector. They will not allow you to purchase this asset without the appropriate protections, as they want to protect their investment.
When paying cash for that asset, we become our own protector and there are items that are easily forgotten, but extremely important.
Homeowners Insurance – The absolute most important item to make sure you have but will not be checked for when you’re paying cash is homeowners insurance.
Contact your homeowners insurance, professional agent, or company in advance so you don’t forget and let them know when closing is .. they will most likely want you to confirm that closing as well.
The perils of forgetting this are, let’s say very daunting and could cause accidental catastrophic asset loss without that all important protection!
Clear Title – One other extremely important item not to forget, but in most cases, this is called a Title Policy or Title Insurance.
Here in Texas, a decade or so ago, there were groups that began putting liens on property without many of the owners knowledge.
Purchasing a property without confirmation of a clear title can lead to having an unwanted partner as an owner, who put nothing in on the purchase – Not kidding. The perils of the unwind can be a total mess… The cost is worth the avoidance of the headache!
Have a Great “Homeowners and Clear Title reminder” Day!
John A. Kvale CFA, CFP
AI Content Authenticity: AI created the image. All of the following text content has been completed by myself and has not been edited or created by AI. Occasionally we do use AI for images and will note when appropriate.
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
