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Seller’s title insurance offering to cover the home due to an existing title issue

Our closing date is coming up and our attorney found an unusual issue with the title from the prior owner (sold too fast, violated FHA flip rule by a few days)

Current owner’s lender / attorney did not catch this when they bought the house many years ago.

As a solution, the current title insurance is offering to fully insure the title for us as well. However, nobody plans to pursue remedying the situation, and there is no letter of indemnification, because they consider it somewhat minor, and the FHA has never brought up the issue.

I understand I would be covered by title insurance if something did come up, but my question is … when I decide to someday sell, how do I know the title insurance will cover the next buyers too?

Could this cause selling issues for me down the road? Thanks

submitted by /u/tarona9
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source https://www.reddit.com/r/RealEstate/comments/12su1pt/sellers_title_insurance_offering_to_cover_the/
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