When purchasing a home, it can be overwhelming, particularly for first-time home buyers. Title insurance is a word that gets thrown around the real estate world, but most people are unfamiliar with what is actually is. With so much information, we’ve decided to make things a little more comfortable for first-time home buyers. Here are some crucial things that every home buyer should know about title insurance.
Home Buyers Have The Right To Choose Their Title Company
In an industry that is inundated with affiliated business arrangements, it can be easy to go with a title insurance company that your broker suggests. However, conducting your own thorough research into an established and proven title company can do wonders for you. Don’t allow your mortgage lender or real estate broker pressure you into using a specific title insurance company. No law requires you to use the title insurance company recommended by your real estate broker. Instead, shop around. Read reviews. Do your own due diligence when it comes to finding a title insurance company that will give you what you need.
Title Insurance Is A One-Time Fee
Unlike other types of insurance, title insurance doesn’t require that you pay a monthly fee. In fact, with title insurance, you pay once, at closing, and that’s it. Your mortgage lender is obligated to provide you with a Good Faith Estimate for closing costs before settlement which includes your title insurance fee.
Always Ask About Standard Versus Enhanced Title Insurance
Some title companies will push enhanced title insurance on prospective homebuyers. But without providing details, homeowners could end up purchasing something they really don’t need. Instead, first-time home buyers should always ask their title insurance company what title insurance policies they offer. Understanding the difference between the various title insurance policies allows you to make an informed decision depending on your needs.
A Title Insurance Company You Can Trust: Colony Title Associates
At Colony Title, we will help you through the process of getting your property’s title and help you avoid the pitfalls of hidden costs while you buy and sell your home. We are also well trained in identifying any and all errors in public records and helping you resolve them. We specialize in real estate title insurance in both Maryland and Washington, D.C., and we will perform an expert title search, check through all past documentation, and examine records for any fraud or forgery. For more information on how we can get you into the home of your dreams, contact us online or give us a call at (410) 884-1160. To get more updates on housing markets and how to get into your home, follow us on Facebook, Twitter, LinkedIn, and Google+.