I am going to purchase an REO property trough Auction.com. The bank will pay for the closing, but I am unsure who I use to get Title Insurance on the property. Auction.com said I can purchase through the bank's title company (Title 365), the local lawyer I spoke with said I could purchase through him? Any difference who I use to get the title insurance? Any difference quality or cost?
I haven't heard of title insurance through a lawyer. I always just get mine through the title company who is doing the closing.
Title insurance rates are fairly standard.
The better question is whether you want to choose your own vendor to look out for your interests. I would.
I would also review the Auction.bomb terms carefully as they typically will offer to pay for certain things only if you use their vendor.
Do Not take the “free title Ins” from xhome. They jack up other fees And they routinely skip checking for “unrecorded liens” such as code violations, utilities, etc and Rxclude them from coverage in the B Rxvludions. BUY YOUR OWN!
Great thanks - Title365 is stated vendor and I believe they are pretty standard to do Title Insurance. Let me know if anyone has had problems with them. Thanks for all the great advice!
I have never heard of a lawyer selling title insurance. I have only heard of a title company providing it. That's interesting if the lawyer can do that, keep us posted what the difference is if you find out. Good luck.
I used to work at Title365. They were bought up by Stewart title so I'm surprised it still shows Title365.
Title365 is a great company, very good at what they do, and they're underwritten by first American for most of their policies so that's nice. However, there is almost no difference in title companies other than a couple fees (not usually very expensive). If you have a good real estate agent/lender/or maybe even lawyer that can fight for you they might be able to reduce some extra fees.
Also, most likely the lawyer isnt selling insurance they have a relationship with a title rep and they send people to their insurance company when they can. I worked as a rep for years and this was common practice.
Hope this helps! =)
I had a bad experience with using the title company that auction.com provided. I purchased title insurance and was sent an owner's policy. Then a few months later when I have the property in contract to sell my title company turns up an open mortgage. It was completely missed and they didn't seem to concerned about it. It was a hassle to try to get a letter of indemnification. Fortunately we got it sorted out and it didn't cost me the deal, but from now on I have my title company handle the original title search.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing