Property title insurers say that shopping around for title insurance can save people more than $1,100 when buying a home.
We know. Of course they say that. Because they want you to shop around and choose them. But isn’t that what the free market is all about? More for less?
In a study commissioned by D.C. insurer Federal Title & Escrow Co., the difference between the most expensive and the least expensive title service in the District was $1,180. In Maryland the difference was $935, and in Virginia the difference was $934.
It may not seem like that much when you put that number next to the $400,000 you’re going to owe the bank. But when you’re paying those up-front closing costs, it can help ease that immediate burden.
The difference in title expenses can come from different charges for settlement fees, title insurance and lender origination, according to Todd Ewing, president of Federal Title.
The report also notes that a firm’s Better Business Bureau rating does not seem to have an impact on a firm’s title rates.
