Answers to Your Most Common Questions About Title Insurance, Closings & Real Estate Transactions
Whether you're buying your first home, selling a property, refinancing, or investing in real estate, it's normal to have questions about the title and closing process. Below are answers to some of the most common questions our team receives from buyers, sellers, real estate agents, lenders, and attorneys throughout New Jersey, Pennsylvania, South Jersey, the Jersey Shore, the Greater Philadelphia area, and nationwide.
If you don't see your question below, our team is always happy to help.
General Questions
What does a title company do?
A title company researches a property's ownership history, identifies title issues, coordinates the closing process, and issues title insurance to help protect buyers and lenders. We also work closely with real estate agents, attorneys, and lenders to help ensure every transaction is completed smoothly.
What is title insurance?
Title insurance protects property owners and lenders from certain financial losses caused by title defects, ownership disputes, liens, recording errors, fraud, or other covered issues that may not have been discovered before closing.
Unlike homeowners insurance, which protects against future events, title insurance protects against issues that may already exist in the property's history.
Is title insurance required?
A title company researches a property's ownership history, identifies title issues, coordinates the closing process, and issues title insurance to help protect buyers and lenders. We also work closely with real estate agents, attorneys, and lenders to help ensure every transaction is completed smoothly.
What's the difference between an Owner's Policy and a Lender's Policy?
A lender's policy protects the mortgage lender's investment until the loan is paid off.
An owner's policy protects your ownership interest in the property and remains in effect for as long as you or your heirs own the property.
Title Search Questions
What is a title search?
A title search is a review of public records to confirm legal ownership of a property and identify issues that could affect the transfer of ownership.
What does a title search include?
A title search may uncover:
- Existing mortgages
- Tax liens
- Judgments
- Easements
- Restrictions
- Property tax information
- Ownership history
- Boundary concerns
- Recorded legal documents
What happens if a title issue is found?
Many title issues can be resolved before closing. Our team works to clear liens, correct public record errors, resolve ownership questions, and address other issues so your transaction can proceed.
How long does a title search take?
Most title searches are completed within several business days, although timing varies depending on the property's history and the complexity of any issues discovered.
Closing Questions
What happens at closing?
Closing is the final step of a real estate transaction. During closing, documents are signed, funds are transferred, ownership officially changes hands, and the transaction is recorded with the appropriate government office.
How long does the closing process take?
Most residential transactions close within 30 to 45 days, although timelines vary depending on financing, inspections, title work, and contract terms.
Can a title company help prevent closing delays?
Yes. One of the primary responsibilities of a title company is identifying potential issues early, coordinating communication among all parties, and helping resolve problems before the scheduled closing date.
What are the most common reasons closings get delayed?
Common causes include:
- Title issues
- Financing delays
- Missing documentation
- Appraisal concerns
- Inspection negotiations
- Scheduling conflicts
Cost Questions
How much does title insurance cost?
Title insurance is a one-time cost paid during the closing process. The exact premium depends on the property's purchase price, loan amount, and state-specific regulations.
Who pays for title insurance?
Responsibility for paying title insurance varies by state, county, and local custom. Your real estate agent, attorney, or title company can explain what is typical in your area.
Why do I see two title insurance policies on my Closing Disclosure?
Many transactions include both:
- A lender's title insurance policy
- An owner's title insurance policy
Each protects a different party involved in the transaction.
Refinancing Questions
Do I need title insurance when refinancing?
Most lenders require a new lender's title insurance policy whenever a mortgage is refinanced because it is considered a new loan.
Your existing owner's policy generally remains in effect, so a new owner's policy is typically not required.
Local Questions
Do you provide title services throughout New Jersey and Pennsylvania?
Yes. Surety provides residential, commercial, foreclosure, and national title services throughout New Jersey, Pennsylvania, South Jersey, the Jersey Shore, the Greater Philadelphia region, and nationwide.
Can I choose my own title company?
In many real estate transactions, buyers have the right to choose the title company. Your real estate agent or attorney can explain how this works based on your specific transaction.