7 FEES CHARGED BY A TITLE COMPANY AT CLOSING

7 COMMON FEES A TITLE COMPANY CHARGES AT CLOSING

My husband always tells me to read everything before I sign it.  Sometimes I do, sometimes I don’t.  But even when I do read what I sign, I do not always understand it.  And if I were a Consumer looking at a Settlement Statement (also known as a HUD-I), I would be baffled at the fees and what they are for.  So I am going to give you a general idea of the title fees we charge and what they cover.   

1. Settlement Fee: the fee to conduct your closing (Buyer and Seller)

2. Title Search Fee: the fee paid to a 3rd party to conduct the title search at the courthouse (Buyer)

3. Title Binder or Commitment Fee: fee charged to analyze the title search and prepare a report of what must happen for a policy to be issued (Buyer)

4. Courier Fee: the fee charged to send all time sensitive documents via overnight courier service (Buyer and Seller)

5. Wire Fee: the fee charged to receive or send funds via wire transfer (Buyer and Seller)

6. Release of Lien Fee: fee charged to prepare, track and record the release of current mortgages (Seller)

7. Deed Preparation Fee: fee charged by our Attorney to draft the Deed (Seller)

Now every title company / law firm does not necessarily charge every fee listed above.  And some use a flat fee system, especially on refinances. 

Since it is the Buyer’s right to select the title company, I highly recommend calling at least two title companies or law firms that handle real estate closings and requesting a HUD-I with a quote of their fees.  Then, if you do not understand something, email them a list of any questions you may have.  This is also a great way to gauge how responsive they are which usually translates over to how responsive they are if they earn your business. 

Pruitt Title, LLC is licensed in Maryland, DC and Virginia with offices in Tyson’s Corner and Rockville.  We have Attorneys on staff that will travel anywhere at any time to conduct a settlement.  For more information, please contact the author of this blog post and our Director of Business Development, Kara Macdonald at 571-432-9385 or kmacdonald@pruitt-title.com.