Title Insurance & Using an Attorney at Closing
 

We are in the process of having a new home built and would like some feedback regarding purchasing title insurance and using an attorney at closing.

Your feedback is appreciated.

Thanks

Matt & Debbie

We will be signing in 2 days. We opted not to spend money on title insurance. We based our decision on the conversations on this forum.

If you are paying cash save your money. If finacing the will require the title insurance.

My brother-in-law bought a house in N. Georgia, and he purchased title insurance. A woman made a claim that she owned part of his property and took him to court. The title insurance paid for everything and the woman eventually lost. It turns out that she did that to a lot of people in that area (Hiawassee). She won some because people didn't have title insurance and couldn't afford to fight it. The total bill for his case was $60,000. The title insurance cost him $300. I bought a pre-owned, and the title insurance was automatically included in the sale as part of the settlement costs. I would have bought it regardless. It may not be needed here in TV, but if it is, I'm prepared.

We've purchased title insurance on every home we've bought (4 in Florida alone). Piece of mind in case something has been overlooked in a title search over the years.

Haven't felt the need for a real estate attorney since our first purchase in Florida. (And then we only used one because my wife was the administrator of a law firm that had a real estate attorney on staff.) Documents here in Florida seem very standardized and protect the parties. My opinion, I doubt most real estate attorneys would agree!

We always buy title insurance. Very small price to pay for peace of mind.

Use of an attorney depends. If it is a private sale, we might have an attorney, depending on the title company. If through a reputable real estate company, probably no attorney. From TV, we did not use an attorney.

In Florida the price of the insurance is based on the price of your home. For a $250,000 home the title insurance runs around $1500. We didn't get it.

Title insurance and attorney
 

We bought new and did not buy title insurance or use an attorney, if we had bought a preowned home we would purchased title insurance and had an attorney. I factored these costs in new versus preowned when we made the decision to buy.

Since you have already signed the contract to purchase the house I think you can skip the attorney.

I would consider a house inspection. However from what I have read on this board I would do my own at the time of closing and hire a professional about 11 months after the purchase. That way you will know what warnety items need fixed.

I think I would get title insurance. I would expect very little risk of a problem but why take the risk. However if I knew the cost I might reconsider. Espicaly since I have not read any posts of people having title problmes. If buying a foreclosed or an existing property I think I would get the insurance.

We bought new, have no loan and did not buy title insurance or use an attorney.

It is the first time that we did not buy title insurance.

It is the responsibility of the seller to furnish a clear title to the buyer..............

Matt & Debbie,

As a retired mortgage loan office I personally would not spend the money for the attorney. All he will do is read over the closing document's and slow the closing down. He cannot change any verbage on the documents because the morgage company will not allow it. And send you a bill for $250 plus dollars or whatever the Florida fee is.

Title Insurance is a personal choice. I would not buy it unless the home I was buying had a history of problems such as foreclosure, estate sale, deed from multi sellers. But it is a comfort for many to have this blanket of security. It is expensive. I have never bought it.

God willing.. we will be down in January to buy our home and I will not have an attorney nor title insurance.

Best to you both