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Why is Title Insurance Important?
interest rates at an all time low, many homeowners are
opting to refinance their mortgage in order to lower their
monthly mortgage payments. However, when refinancing,
homeowners must be prepared to pay closing costs similar
to the ones paid when buying their home initially.
do you have to pay those costs again? Because as far as
the lender is concerned, you are essentially buying your
home over again -the lender has the same amount of work
to process on their end as if you are buying a new home.
In addition to points, application fees, appraisal fees,
survey costs, homeowners hazard insurance, credit check,
and other fees, you will also have an additional purchase
of title insurance.
Why Title Insurance
insurance is an important part of refinancing because
it essentially protects the homeowner of their ownership.
Title insurance safeguards the homeowner from loss due
to problems with the title. Your policy states that your
title company will provide legal counsel should any problem
with your title occur. The title insurance company offers
a complete and thorough background investigation on your
property searching for anything that could affect the
title, such as: tax information, historic matters of importance,
purchasing information, other claims to the property,
etc. - essentially all matters which could affect ownership.
in the most thorough investigations, it is possible to
miss something important, and therefore, you buy title
insurance. This protects the homeowner as well as the
title company. Once the settlement is final, the homeowner
is completely responsible for any valid claims made against
the property in question. Title insurance protects your
Why do you need
a new title insurance policy when refinancing when they
already have an existing policy on the same house? The
answer is simple: the old policy does not protect against
something that might have happened between the time you
purchased the property and when it is refinanced.
Another reason why buying a new title policy is so important
is because many mortgages are set up as securities and
sold to investors in the secondary mortgage market. Having
title insurance ensures that the mortgages backing these
securities are legitimate.
Much Does Title Insurance Cost?
insurance is relatively inexpensive. The cost of title
insurance is based on the purchase price of the home and
the loan amount. Although charges can vary by state, title
insurance (including the title search, examination, and
other services) amounts to about one percent, or less,
of the cost of the property. The higher the value of the
property, the more coverage is needed. The premium is
paid just once, at settlement, for immediate protection
(as well as protection in the future even after the property
is sold) as long as the property is owned by the insured.
choose Armour Settlement Services LLC?
leadership, dedication to our customers, and a strict,
thorough, and efficient work ethic, has made Armour Settlement Services
a successful leader in the title industry. Our experienced
and qualified staff will work diligently in order to assist
you in fulfilling all of your title policy and insurance
needs. For more information about title policies and title
insurance call our offices toll free at, 877-TITLE-30, dept. 233. Click here to request a quote.
will work with our title management staff and escrow officers,
who understand how important each transaction is to you.
They have the experience, work ethic and dedication to
get the job done, even if that means staying late and
taking calls after hours. We are professionals who understand
that complex issues may arise. We will respond in a timely
and courteous manner every time. Armour Settlement Services is
dedicated to giving you and your customers the highest
level of service every day.