Hello,
We are closing a refinance here in a couple hours. We just bought the house 6 months ago and did an addition on a credit card and are now refinancing to get that off the cards. We paid title insurance 6 months ago. Should they be charging that again?
They probably should charge you again. The reason is that there could have been a number of new liens put on the property since the last time they researched it. You should ask them for a discount.
It was my understanding that Title insurance is to protect you from any discrepencies that may arrive from the previous owners. Im being charged a $500 in closing fees plus another $70 in whatever fees, $200 for recording fees and $350 for Title Insurance. I would assume that to look for any liens or encumbrances should be in a title search which should be in the Closing fees. BTW, All these fees are from the Title Company.
the title company should simply update the 6-month old title policy at a discounted price.
The rates seem to differ from state to state. In this state, the reissue rate which is what you’re getting is $1.25 per thousand. Standard lender’s policy is $2.50 per thousand and $3.75 for owner’s coverage plus $175 dual issue fee.
Those recording fees sound pretty normal. There’s usually an attorney fee which if you’re using a title company instead of an attorney could be the $500. Our recording fees here are $176 for a deed, forget what it is for a discharge. Those whatever fees are usually for delivery fees or other misc fees.
Title insurance really protects them if the title search wasn’t complete or if there was a lien that wasn’t recorded at the time of the search.