The Supreme Court and the nomination, now confirmation, of Judge Amy Coney Barrett to serve as an Associate Justice of the United States highest court, has been in focus for many weeks!
In New York State the right to choose is a topic that’s in the forefront of everyone’s mind, and at Hallmark Abstract Service we would like to assure the public that in one critical area, that right is safe.
Purchasing Commercial or Residential Real Estate
As a homebuyer, buyer of commercial real estate or perhaps some other type of investment property, you have the RIGHT to choose the provider of the title insurance, one of the most critical aspects of the entire transaction.
Truth be told in many instances the buyer does not think about title insurance until they are sitting at the closing table, and are asked to write a check to a company they may never have heard of.
Typically, the attorney who is handling the transaction for the buyer will work with one or more title insurance companies, and will give the deal to one or the other. BUT, all title insurance companies ARE NOT the same!
For consumers who typically look into the details of every purchase that they make, why cede all decision-making authority to someone else, in what may be the greatest financial expenditure of your life?
For the property buyer, it’s important to recognize what some of the differences between title insurance companies are…
What Are Some of the Difference Between Title Insurance Companies?
- First and foremost, what is the title claims experience of the title insurance company being used?
While this question is seldom asked, it is extremely important. Has this company in the past inadvertently overlooked any issues surrounding a property that should have been taken care of before the closing, and that may not have been? And did these omissions result in a title claim?
Ask, because one of the more significant purposes of the title insurance company is to ensure that you the buyer, when you close on your residential purchase, are receiving good, clean and clear ownership of that property!
- Second, and extremely important for the buyers pocketbook, are the fees being charged by the title insurance provider on the title insurance bill fair?
After making sure that the title insurance company being used has a laser-focus on protecting you, the buyer, it’s important to make sure that the fees that they’re charging are fair.
Your attorney will provide a title insurance bill from the title insurance company that will include many of the costs that you will face at the closing table, including the title insurance premium(s), document recording fees, mortgage tax if using financing along with many other fees (any potential taxes due will not be known until close to the closing date).
While many of these costs will be the same regardless of the title insurance company being used (i.e. title insurance premium, mortgage tax, etc.), others fees on the title bill can and do vary widely by firm, sometimes by as much as $500-$1,000.
Title Insurance Technology: If you have a title insurance bill in hand, or if you are first starting out in the homebuying process, Hallmark Abstract Service has developed a free app (Hallmark Abstract Service app) that will allow you to calculate what the costs for a New York residential purchase, with or without a mortgage, should be.
As a consumer we check the prices for everything that we buy, why not title insurance as well? And if your attorney is already using another title insurance company, the results from the Hallmark Abstract Service app (Hallmark Abstract Service app) will allow you to go back to ask that some of the fees be reduced.
Ask Us If You Have Title Insurance Questions!
Do you have questions about the process or any other aspect of the title insurance, please give me a call or send an email and we will answer them.
Mike Haltman, CEO
Hallmark Abstract Service