 |
|
|
 |
New Member
|
|
May 31, 2007, 04:52 PM
|
|
Closing cost?
Was buying a house. Went to see a lawyer. Got list of prices for closing. Was told title insurance for New Jersey was mandated by the state and was 1,765 for a $410,000 house. Recently looked at contract and realized that I was charged $2500 for title insurance by my lawyerinstead of $1765. I am going to see him about this but would like to be prepared for his response. Anyone know reason for descrepancy? Or is my lawyer ripping me off.
Thanks, Dave
|
|
 |
Expert
|
|
May 31, 2007, 05:35 PM
|
|
I may be totally wrong here (full disclosure - last time I bought a house in NJ was 1986), but I don't believe that Title Insurance prices are regulated to the extent that the price is determined solely by the selling price of he house, any more than auto or homeowner's insurance is determined solely by the value of the property being protected. There are a lot of insurance companies out there, and they are in competition with each other. Caveat Emptor - shop around for the best rate!
|
|
 |
Expert
|
|
May 31, 2007, 05:59 PM
|
|
Your attorney was correct. The price for title insurance in NJ is regulated by law. It is a certain amount per $1000 of purchase price. However, that is the cost for the title insurance premium. There are other services provided by the title insurance company that are added to the final bill. These costs include fees for the title search, the court searches, obtaining tax, assessment, water and sewer info, additional endorsements to the title policy that may be required by the lender, copying, overnight mailings, etc.
The amount you were quoted doesn't sound out of line. But if you are concerned then you can call any title agency in NJ and ask them what the total title bill would be for the purchase of a $410,000 house. Ask them to include all fees in their estimate and not just the title premium.
|
|
 |
New Member
|
|
May 31, 2007, 07:47 PM
|
|
 Originally Posted by LisaB4657
Your attorney was correct. The price for title insurance in NJ is regulated by law. It is a certain amount per $1000 of purchase price. However, that is the cost for the title insurance premium. There are other services provided by the title insurance company that are added to the final bill. These costs include fees for the title search, the court searches, obtaining tax, assessment, water and sewer info, additional endorsements to the title policy that may be required by the lender, copying, overnight mailings, etc.
The amount you were quoted doesn't sound out of line. But if you are concerned then you can call any title agency in NJ and ask them what the total title bill would be for the purchase of a $410,000 house. Ask them to include all fees in their estimate and not just the title premium.
Thanks for the quick response. Sounds like a good idea. I call around and then ask him anyway.
Thanks again. Dave
|
|
Question Tools |
Search this Question |
|
|
Add your answer here.
Check out some similar questions!
Finance / cost of equity and weighted average cost of capital
[ 2 Answers ]
How do I go about calculating the after-tax cost of new debt and common equity. Calculate the cost of equity and calculate weighted cost of capital. I do not understand this a bit.
The following tabulation gives earnings per share figures for the Foust Company during the preceding 10 years. The...
Cost of end. Inv. And cost of goods sold under average cost
[ 1 Answers ]
It's me again!
I have another question to the same problem. In case someone else responds, I'll post the problem again.
June 1 inv20051000
June 12 purch.30061800
June 23 purch. 50073500
June 30 inv.
I need to compute the cost of the ending inventory and the cost of goods sold using the...
Closing cost on home purchase
[ 2 Answers ]
Hi, my name is skol supunpong and am about to purchase a home in Austin, Tx. The price of the house is $329,000 and I am going to pay by cash. My concern is about the closing cost. My question is that when I purchase the house with cash, do I have to pay this cost or not at all? I would...
Closing Cost for property
[ 2 Answers ]
I need to know what closing cost will be when buying property with cash. Seller states he has 14.5 acres for sale with only electric and states he's asking 16,500.00 plus closing costs. The property is off a dirt road and is being purchased for hunting here in NY State. I intend to pay the...
View more questions
Search
|