How to choose a title company?

I found my own when I closed on my house last October. Like you I didn't go with what they advised.

I used a company called SETTLEMENT AMERICA, INC., they are located at 3200 Farmersville Road, Bethlehem, PA., 18020 610.865.2091, the person who handled my closing was Debbie Hartman.

This company in my opinion is great, they were on time, very thorough, explained everything and very quick! We closed within 15mins and they handled everything....title, docs, paying creditors, etc....

They gave us copies of everything in a nice portfolio and we had a copy of our newly filed deed in 2 weeks after closing!!! We were told we probably wouldn't get it for months but they processed it quickly!

I would definetly use them again.


PS... I think we paid about $750 or 800 for everything. The other company wanted double that amount, so it pays to shop around.

Tac

 

What state are you in? I am a mortgage broker and can possibly recommend a good one if youa are in one of the 15 states I do business in.

 

Call around and ask friends. Check settlement fees, they do vary from company to company. FYI (I'm a real estate agent), at least in TX, we are not allowed a piece of the title company's pie, it is illegal.

Don't necessarily dismiss their recommendation. Its just as bad for us to have a bad, slow, rude, etc. title company. In fact, if they are referring you to one, chances are it is because they have a good relationship.

Think about it this way - Some snafu appears (cloudy title, etc.). Your RE Agent is generally one of the first to know, and to help you work through it. Do you want them trying to get information from someone they have no relationship with, or someone they are friendly/on good terms with?

If you don't want to use the recommended one, at least ask your RE Agent about their thoughts on the one you are thinking of choosing. They may have "inside" information!

Good luck! You are getting close!

 

Oh yeah, if your worried about illegal fees and such, google on RESPA - Real Estate Settlement Procedures Act. That will give you some guidance.

Also, don't let them tell you differently, but some fees are negotiable, although I have been out of the biz since before interest rates fell, so I don't know how negotiable they are.

 

RESPA is more geared toward the collection of excessive fees from lenders, such as appraisal fees, insurance, closing fees, etc. that all must be disclosed on a good faith estimate from the lender during the application process and by the title/closing company on a HUD-1 at closing.

I'd be more worried about closing thru a title company recommended by your lender than I would by your realtor. There is much more a chance of predatory lending and excessive fees along with kickbacks from the lender to the title agency than anywhere else.

Realtors work in the "trenches" everyday establishing working realationships with title companies. The goal of the realtor is to get the deal signed and closed in the shortest time possible, yet making sure their "I's" are dotted and "T's" are crossed. Their compensation comes from the selling price, not the closing costs.
Hence, most realtors want the best service for the cheapest price for their clients from the title agency.

Lenders on the other hand have much more to gain, a portion of their compensation comes from ancillary income - say they pay $150 for an appraisal and charge you $300. It may not seem like much, but when you consider the amount of refi business they do, 300 refi's a month add up.

I guess the bottom line is ... trust your realtor. This person put the deal together for you and wants to make it happen. They want to establish a relationship with you and do not want to lead you down the wrong path. Considering 90% of my realtor business comes from referrals from satisfied clients, that is saying something.

Unruly