Which type of title policy specifically protects the homebuyer?

The buyer's title policy specifically protects the homebuyer by providing coverage against losses resulting from title defects, undisclosed liens, and other issues that may arise with the title to the property being purchased. This type of policy ensures that the homebuyer has legal ownership of the property free from claims that could compromise their rights in the future.

When a buyer purchases a home, they are often concerned about the potential for title issues that could stem from previous owners, such as unpaid taxes or undisclosed heirs. The buyer's title policy serves as a safeguard against these risks, ensuring that if any such issues arise after the purchase, the title company will assume responsibility for legal costs and any potential financial losses.

In contrast, other options do not focus on protecting the homebuyer. A title binder is typically a temporary document indicating that a title insurance policy will be issued at closing and does not provide the same level of protection. A lender's title policy is designed to protect the lender's interests in the property, ensuring their investment is secure, which may not directly benefit the homebuyer. A property deed is a legal document that outlines ownership of the property, but it does not provide insurance against title defects or claims.