with Kim Hall of Key Title
Title insurance in North Carolina is the line item almost nobody understands and almost everybody pays for. You’ll see it on your closing statement, your lender will require part of it, and you’ll be offered another part as optional — usually at the exact moment you have the least energy left to ask questions. In Episode 008, Kim Hall of Key Title, who has spent 35 years doing this, explains what you’re actually buying.
Buying a home is one of the biggest financial decisions you’ll ever make. You budget for inspections. You compare mortgage rates. You shop insurance policies. But there’s one line item at closing that most buyers pay for without fully understanding: title insurance.
In Episode 008, I sat down with Kim Hall from Key Title to break down what title insurance actually is, how it works, and why it quietly protects your ownership rights long after closing day.
Hey friend — I’m Tabetha (Tabi) Klein, aka theILMrealtor. I help people buy and sell homes in Wilmington, North Carolina (and all over New Hanover, Brunswick, and Pender). This podcast is all about making real estate feel less intimidating and more doable.
Watch or listen: YouTube · Spotify · makingilmhome.com · @theILMrealtor
In this episode
Clarity equals confidence in the land title process.
Kim Hall, Key Title
What Is Title Insurance?
When you purchase real estate, you’re not just buying a house — you’re buying legal ownership rights to that property. Title insurance protects you from financial loss if there are defects in the title. These defects can include:
- Undiscovered liens
- Unpaid property taxes
- Recording errors
- Forged signatures
- Unknown heirs
- Boundary disputes
- Clerical mistakes in public records
Unlike homeowners insurance, which protects the structure, title insurance protects your legal ownership of the property — and it’s paid once at closing, not monthly.
What Does “Clear Title” Really Mean?
A clear (or marketable) title means there are no unresolved mortgages, liens, judgments, or legal claims attached to the property. Before you close, a title search reviews public records to confirm:
- The legal chain of ownership
- Any recorded liens
- Easements or restrictions
- Potential ownership disputes
If something is found, it must typically be resolved before closing — protecting both you and your lender.
Common Title Issues in Coastal North Carolina
Here in Wilmington and surrounding counties, title work can sometimes uncover unique challenges, including:
- Heir property situations
- Old unreleased mortgages
- Boundary line discrepancies
- Rapid development impacting property lines
- Recording errors in older downtown properties
Even new construction isn’t immune — contractor liens and recording delays can create unexpected complications.
Protecting Yourself from Property Fraud
Deed fraud and property scams are on the rise nationwide. Kim also shared free property fraud alert services available locally — these systems notify you if documents are recorded in your name. If you own property in southeastern North Carolina, you can sign up here:
- New Hanover County Fraud Alert: nhcgov.com/2434/Property-Fraud-Alert
- Pender County Fraud Alert: fraudalertme.com (Pender)
- Brunswick County Fraud Alert: brunswick-live.inttek.net/fraudalert
- NC Register of Deeds: ncard.us (NC Association of Registers of Deeds)
Why title insurance in North Carolina is worth understanding
If a title defect appears years after closing — an unknown heir, an unpaid lien, or a recording error — title insurance covers the legal defense and potential financial loss. Without it, the homeowner would be responsible. It isn’t exciting or glamorous, but it may be one of the most important protections in your entire real estate transaction.
“Clarity equals confidence in the land title process.” — Kim Hall
Do you actually need the owner’s policy?
This is the real question, so here it is plainly. The lender’s policy is required, and it protects the lender’s interest in the property — not yours. When the loan is paid off, that protection ends. It was never about you.
The owner’s policy is the optional one, and it’s the one that protects your equity. It’s typically a one-time premium paid at closing, and it generally lasts as long as you or your heirs hold an interest in the property. The N.C. Department of Insurance lays out the difference between an owner’s policy and a lender’s policy if you want the regulator’s own wording.
Kim’s framing, after 35 years: you are insuring against something that already happened before you got there — a forged signature decades ago, an heir nobody knew about, a lien that was never released, a boundary described wrong in 1962. A title search finds most of it. The policy covers what a search reasonably couldn’t.
I’m not going to tell you what to do with your money. I will tell you that in fifteen years of a house going up in value, the thing you’d be protecting is your equity, and the premium is paid once.
Where this connects to everything else
Title insurance is the backstop underneath two other episodes worth your time. Episode 012 on real estate wire fraud in North Carolina covers deed fraud and seller impersonation — the kind of thing a title policy exists for. And Episode 013 on heirs property shows how a single undocumented inheritance can cloud a title for generations.
Questions about title coverage
Who pays for title insurance in North Carolina?
It is negotiable and varies by transaction. What matters more is understanding that the lender’s policy and the owner’s policy are two different things protecting two different parties.
Is an owner’s title insurance policy required?
No — the lender’s policy is required, the owner’s policy is optional. The lender’s policy protects the lender’s interest, not your equity, and it ends when the loan is paid off.
How long does an owner’s policy last?
Typically a one-time premium at closing that generally lasts as long as you or your heirs hold an interest in the property.
About our guest: Kim Hall (Key Title)
Kim Hall is Marketing Manager and an underwriter at Key Title, licensed in both North Carolina and South Carolina, with 35 years in land title insurance. She has spent that entire career helping agents and buyers understand why title work matters — which, as she puts it, is the part of the closing nobody thinks about until it’s the only thing that matters. Outside of work, she loves the beach.
Website: keytitlellc.com
Buying in Wilmington and want the closing explained before you get there?
I’d rather you understand every line on that closing statement a month early than nod along on the day. Call or text 910-983-8963 and I’ll walk it with you, or start with my guide to buying a home in Wilmington, NC.
Tabetha Klein, REALTOR® | Coldwell Banker Sea Coast Advantage | 910-983-8963 | makingilmhome.com | @theILMrealtor
This episode is for general education and local insight, not legal or insurance advice. Policy terms, coverage and exclusions vary — always consult a licensed attorney or title professional about your specific transaction. Guest appearances are editorial and are not paid endorsements. Coldwell Banker Sea Coast Advantage. Each office is independently owned and operated. Equal Housing Opportunity.