Who pays for title insurance is a common question. Title insurance is actually a title insurance policy issued by a title company. It protects the interest of the owner in a home or property.
Sometimes, the first questions someone asks is whether they need title insurance at all. The largest investment most people have is in their homes. First and foremost, it’s prudent that every homeowner have title insurance coverage to give themselves protection against title issues.
Thus, title insurance coverage protects the homeowner against fraud or other title problems. These problems must have existed as of the date of the policy.
Secondly, once you know you either need or must have title insurance on your home, the next question is determining the person responsible for the payment of title insurance. Unfortunately, the answer is usually dependent on local custom.
You should know that in some parts of the country, the seller pays for the owner’s title insurance policy. Unfortunately, in other parts of the country the buyer pays for the policy.
Finally, if you get a loan when you buy the home, your lender will need its own title insurance policy. Then, you, as the buyer and borrower, will need to pay for this title insurance policy.
Finally, here are some articles on title insurance that you may want to look at for more information.
Paying for Title Insurance by Ilyce Glink
How to file a title insurance claim by Ilyce Glink
Title Insurance May solve Encroachment Issue by Ilyce Glink