On a refinance on SA home that we purchased last year. Please let me if this is anyone's wheelhouse and would like the (probably easy) business.

Title insurance is regulated by the state so the cost, which is the most cost in title, is the exact same no matter which title company anywhere in the state. Admin costs vary but will be very similar between companies.

So title selection is really about convenience and competence. When I don't know of someone personally I find a name brand close you the clients home. So a Stewart, Alamo, First American etc. as said refi's are usually pretty easy.

Thanks for the information. I didn't realize that these fees were set. For a refinance, this seems like stealing. Why should I need title insurance to transfer it from me to myself?

Discussing title costs in Texas will get you 3 pages of responses even here in quiet RE. Hint: it a huge rip-off approved by the legislature who benefits from generous donations made from generous profits mandated by that legislature.

But if you want to refinance you will buy a new policy. With very few exceptions. You do get a discount off state mandated pricing by refing based on time since the last loan on the property. So 1-2 years your get 40% off, 3-4 years 35% of etc. need to check with title for current discounts but also statewide.

Thank you for your help.

DartosFC said:

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Thanks for the information. I didn't realize that these fees were set. For a refinance, this seems like stealing. Why should I need title insurance to transfer it from me to myself?

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Because the bank you're refinancing with wants to protect their investment and makes you buy insurance to ensure that.

I am in no way, shape or form affiliated with these people but have used their services here in Houston over the years and in San Antonio as well. They also have an office in College Station. Independent company not a big box national title company.

Owner is a Fighting Illini and huge college sports fan. Has been known to get into my cooler in the parking lot at Kyle Field.

Frontier Title
Liz Thompson
210 305 5600
lthompson@frontiertitletexas.com


Off 1604 between 281 and I10.

DartosFC said:

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Thanks for the information. I didn't realize that these fees were set. For a refinance, this seems like stealing. Why should I need title insurance to transfer it from me to myself?

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yep...it's a racket. You do get a discount because of your recent purchase date

Because the title insurance you purchased when you bought the house insures the title for claims that could be made up to the day of purchase. The insurance on the refi would insure back to your previous policy.

So, if for example you bought house did some work but stiffed the contractor who filed a mechanics lien. When this lien shows up when you go to refinance or sell the property that clearly would not make sense for the previous policy to held responsible as it happened after the fact. The new policy at the refi would be responsible if it missed that lien, therefore a new policy is required.

and as mentioned you do get a discount as the new policy has a lot less risk because it is insuring less time. And you will not get an argument from me that cost of premium vs the claims paid out seems way out of whack in Texas. In other states we lend in a policy that might be 4000 in Texas might only cost a few hundred in other states.

Thank you. Makes sense that there is still risk there.

There is some risk but it's very low. A title company could reissue a policy after routine title search for issues. Then have those issues resolved before providing an updated policy.

Think of this fact…title insurance is the ONLY insurance policy in Texas regulated by the state. All others are subject to free market economics. Multiple studies of other state title markets show Texans would pay 30-40% less for title if subject to market.