[barblopps]

Originally Posted by Terriy

Looking at a list of estimated closing costs on a new patio villa in Hawkins. One of the fees is Owners Title (Optional). Can someone explain the need for this on a new never occupied home? Looking at $7,178 in total closing costs and that doesn't include prepaids and reserves. I'm not locked into this lender yet and am definitely shopping around. Thanks for your help!

What if you purchased a new home and opted out of the title insurance as it was optional. How does that affect your home when you go to sell it?

[newgirl]

That's crazy! Plus seller pays for title usually to prove clear title from liens.

[nick demis]

Originally Posted by Neils

Do you know who owned the land over the past maybe 100 years?
A claim from a distant heir can get expensive to defend

There appears to be no limit to fear.

[chuckpedrey]

If you carry a mortgage the lender will require mortgagee title insurance and the closing agent will be able to offer owner title insurance at a substantial discount.

[Stu from NYC]

Originally Posted by nick demis

There appears to be no limit to fear.

But sometimes stuff does happen!

[retiredguy123]

Apparently, some people are confused between a title search and title insurance. The seller always has to do a title search to determine that they are able to convey a free and clear title to the buyer. If they make a mistake doing the title search, the buyer could sue them and the seller may be liable for damages or be required to correct a defective title. But, the buyer can purchase an optional title insurance policy that transfers the risk of a defective title from the buyer to an insurance company. So, if the title is defective, the insurance company, not the buyer, becomes responsible for suing the seller and/or correcting the title or paying damages caused by the defective title. It is possible that a defective title may not become an issue until years after the house has been sold, but the title insurance policy does not expire.

[Pairadocs]

Originally Posted by Worldseries27

idk. Maybe someone will
make a claim to build a casino.
just saying

LOL ! As they say, anything is possible right ? My opinion, I think most of us realize closing is much like your cable bill; some charges are actually legit and many are the "padding" for the corporate bottom line. While we chose not to pay it, some people who are just extra cautious, or routinely just worry excessively, are probably better off to just pay it (and yes, I think the lenders obviously know that, planting a small seed of doubt or fear works every time. Some people choose the minimum coverage in insurance, some do not feel comfortable unless they choose the maximum. The only thing people can really do is find out what MUST be paid (in a legal sense) and have someone HONESTLY explain the other/optional charges. When actually at the closing, I have noticed a tendency to really speed through this portion. Many people mistakenly believe because there is an attorney present, they HAVE an attorney and don't need to hire and pay one. The attorney present is not actually there to look after them, but to look after the lender involved. Never hurts to have someone looking after YOU.

[DecaturFargo]

Waste of money.

[retiredguy123]

Originally Posted by barblopps

What if you purchased a new home and opted out of the title insurance as it was optional. How does that affect your home when you go to sell it?

It should have no effect at all.

[Stu from NYC]

Originally Posted by DecaturFargo

Waste of money.

unless or until it isnt.

[EileenK]

Originally Posted by Terriy

Looking at a list of estimated closing costs on a new patio villa in Hawkins. One of the fees is Owners Title (Optional). Can someone explain the need for this on a new never occupied home? Looking at $7,178 in total closing costs and that doesn't include prepaids and reserves. I'm not locked into this lender yet and am definitely shopping around. Thanks for your help!

Fl law that seller has to supply title insurance. Check with attorney. TV lies about everything.

[retiredguy123]

Originally Posted by EileenK

Fl law that seller has to supply title insurance. Check with attorney. TV lies about everything.

Not true. In Florida, owners title insurance is optional and not required to be paid by the seller. You may be thinking about a title search, not a title insurance policy. See post No. 51.

[candg1971peanut]

Ck Mid Florida

[mikemalloy]

We opted to not take the policy. My reasoning was that if there was a problem with the title, I'd sue The Villages. I'm pretty sure that they are collectable. Insurance companies sometimes deny coverage for some reason. I'd just a soon be in litigation with TV.

[biker1]

For a new home, I didn't see the need either, especially at a cost of $1200. For a resale, I definitely see a need. For a new home, if there was a defect in the transfer of the land to The Villages then literally hundreds, and perhaps thousands, of homes would be impacted. I am reasonably certain The Villages would have to deal with it or their ability to continue to sell new homes would be impacted.

Originally Posted by mikemalloy

We opted to not take the policy. My reasoning was that if there was a problem with the title, I'd sue The Villages. I'm pretty sure that they are collectable. Insurance companies sometimes deny coverage for some reason. I'd just a soon be in litigation with TV.