September 09, 2016
As seen in The Cooperator Magazine, September 2016
OneTitle National Guaranty Company, Inc. released a new report showing that buyers of New York State real estate—including home buyers, investors and others—spent an estimated $155.3 million in excess title insurance premiums and related fees in 2015. The analysis shows the impact on nearly every real estate transaction, from starter homes to the largest commercial transactions, across every city and town.
The report’s findings are based on an exhaustive analysis of 182,487 individual real estate transactions recorded throughout New York State using data captured from tax and transaction records. The study includes purchases totaling $140.2 billion, reflecting the vast majority of transactions in 2015, and weighs the potential for savings through readily available lower cost title insurance options.
“There is a misconception that title insurance rates are set by law. As a result, even knowledgeable attorneys—who often end up making the selection—are unaware that lower cost alternatives exist, and therefore fail to inform their clients how much they can save,” said Daniel C. Price, founder, president and CEO of OneTitle, a direct title insurance underwriter that works directly with attorneys, lenders, load officers and buyers.
“This is in contrast to other major expenses in buying and selling real estate, like brokers’ fees, mortgages and lawyers’ fees, for which residential and commercial buyers understand they can shop around and save a lot of money.”