Many times the title company isn’t given the attention it should as part of the transaction. It should. Consumers have the legal right to choose their own title company but rarely exercise that option and instead allow their agent to do it for them, this is a MISTAKE!
Many Title Companies “Buy” business by paying inflated office rental fees to be onsite and therefore more “Convenient” or they pay for trips, gifts or marketing that pushes the outer limits of the RESPA Guidelines. Many Real Estate Offices encourage or strong arm agents to use those “Convenient” Title Companies because it is part of the office revenue stream.
Do not settle for a mediocre Title Company to be selected for you, instead ask for 3 Title company references in your area from your agent and research which one works for you. (Here is a tip, this is NOT the product to purchase the cheap version of)
The title company handling the loan transaction essentially handles the legal side of the deal.
- Who are there underwriters?
- How other underwriters rated?
- What is their reputation?
- How is your title policy is written, are there exceptions that you might find it your Title policy?
- What are the exceptions and WHY?
- Could these exceptions cost you thousands later?
Make sure that you’re using a title company that has top rated multiple choices of underwriters as well as hire an agent who is going to discuss with you any exceptions that the title company puts on your policy.
A title issue can come back to haunt you years after your transaction and cost you thousands of dollar, shop smart today!
The Savvy Buyer Series