This is a common oversight that can cost you hundreds of dollars if you’re not careful. Many buyers, especially first-time buyers, simply accept whatever title company or escrow service is recommended by their lender or real estate agent. But here’s the thing: you have the right (and the power) to shop around and save money.

Let’s clear up a few things:

Title insurance policies are almost identical from one company to the next.

• They’re regulated, standardized, and heavily backed by the same handful of national carriers.
• There’s no real difference in coverage between them, no matter what anyone tries to tell you.
• They’re also required to post their rates publicly and file them with the state, so you can easily comparison shop on their websites or with printed rate sheets.

What’s not regulated the same way?

• Escrow fees! These can vary dramatically, from a few hundred dollars in some states to several thousand in others.

How to Save Money (and Avoid Overpaying)

Shop around for title rates.

Even though title insurance rates are fixed and regulated in most states, you can confirm you’re getting a fair price by comparing posted rates. Don’t let someone convince you to pay more for a “better” policy; they’re virtually the same!

Focus on escrow fees.

• Escrow fees are usually negotiable.
• If you’re using the same company for both title insurance and escrow, they’re making a healthy profit on the title policy, which often means they’re willing to discount escrow fees.
• Always ask if they can discount escrow fees. Even a few hundred dollars can make a real difference, especially when you’re juggling all the costs of buying a home.

Pro Tip:
Some buyers can save even more by using a title update (instead of a full new policy) if the property was sold recently. Learn more about how this works in our House Karma educational section on title insurance and escrow, it’s worth a read!

Strong Warning: Be Diligent!

Title insurance is essential — it protects your ownership rights. But don’t get distracted by sales pitches claiming one company is better than another; it’s about price and getting the best deal for you.

So, remember:

• Ask for rate sheets.
• Compare them yourself.
• Negotiate escrow fees.
• Don’t be shy about shopping around, it’s your money!

At House Karma, we’re all about empowering buyers with knowledge so you’re not taken advantage of, especially on these “behind-the-scenes” costs. If you have any questions about title insurance, escrow, or anything else in the buying process, just ask. We’re here to help you every step of the way.