Title Insurance: How does it work in Florida?

Purchasing a home is one of the most significant investments most people will make during their lifetime. It is crucial to make sure that you understand what “title insurance” is before closing on your new home. It’s not something you are apt to be familiar with, especially as a first-time homebuyer.

Title insurance is a protection policy for homebuyers preventing loss due to claims made against ownership. Closing transactions are typically handled by a title insurance agent or accompanied attorney and notary in Florida.

During closing, the title to real estate is transferred from the seller to the buyer. The seller typically pays for the title search in Florida, except for closings on property in Sarasota, Collier, Miami-Dade, and Broward counties, where the buyer typically pays for their own owner’s title insurance policy.

The agent will perform a title search to examine the historical records of the property, including deeds, court records, indexes, and more, to verify that the seller has the right to transfer ownership and determine if there are any claims, defects (liens, restrictions, unpaid taxes, unsatisfied mortgages, etc.), rights or burdens attached to the property.

Title insurance regulations vary from state to state and even county to county, especially in Florida. When a buyer purchases a home, the lender requires that the buyer secure mortgagee title insurance. This policy only protects the lender, leaving it to the homeowner to purchase title insurance to protect their own interests.

In Florida, title insurance costs are set and regulated with premiums based on property price or the loan amount. The premium is a one-time payment due at closing.

Consult with a professional to navigate the purchase of title insurance when buying a home in Florida. Licensed Florida attorneys founded Fleet Title to bring high-quality, fast, and efficient title services to the residential and commercial real estate markets throughout the state of Florida. Our attorneys have closed real estate transactions for over 25 years. At Fleet Title, you will benefit from our experienced attorneys at the cost of a title agent. To learn more about the services offered, visit fleettitle.com, call (772) 224-3338, or email them at info@fleettitle.com.

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