Title insurance protects the most important investment you will ever make, the investment in your home.
Title insurance is an insurance policy that insures your ownership interest to your piece of real estate. The title examination department of the title company carefully researches the history of the property you are buying to discover who has interests in the property such as lenders or tax authorities. They also search to see that the person selling you your home actually owns it and has not encumbered it with liens or judgments.
The rates for title insurance are set by the Texas Department of Insurance. There is a one-time premium that is paid at closing and is based on the sales price or loan amount. You can find the rates published in this website. There are also small closing costs for closing your sale or loan. This is separate and in addition to our policy of Title Insurance.
Who pays for insurance is negotiated at the time you sign the earnest money contract. There are two basic types of title insurance, Owner’s Title Insurance (protection for the buyer) and Loan Title Insurance (protection for the lender). Traditionally, the Seller pays for the Owner’s Title Policy and the Buyer pays for the Loan Policy.
There are many potential problems, some of which follows:
- The seller may not actually own the property being sold.
- There may be outstanding liens against the property.
- Back taxes may be unpaid.
- An ex-spouse may still have an interest in the property.
- Federal and State liens and suits, as well as forgery, may be exposed.
As Ronald Reagan once said, “Trust but Verify.” Your title policy is your verification when buying a home.
Stonewall Title Company has the most advanced, comprehensive title examining department. Our examiners have many years of combined experience. This coupled with our superior escrow staff and our convenient location, guarantees you will receive the best title service in Texas.
Typical Buyer’s Costs
- Credit Reporting
- Lender Fees
- Document Preparation Fee
- Prepaid Interest, if applicable
- Prepaid Tax and Insurance Escrows
- FHA or VA Fees, if applicable
- Assumption Fees, if applicable
- Lenders’ Title Insurance Premium
- Closing Fee
- Shipping and Handling Fee
- Pest Inspections
- Homeowner Hazard
- Prorated Association or Condominium Fees
- Recording of Deed and Mortgage