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Old 06-14-2013, 05:12 PM
 
2 posts, read 11,594 times
Reputation: 12

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Last week I closed on a house in Murfreesboro. The owner's title insurance was about 3 times the amount that is charged in Georgia where I moved from. I got a VA loan so I called to file a complaint with them. They said real estate lawyers do a sloppy job with title searches in Tennessee so the consumer has to pay for it. Since most real estate information is online now, I don't see how Tennessee lawyers can be so incompetent.

I grew up in Tennessee and have always taken offend to anyone who puts Tennessee down. This kind of makes all of those Tennessee jokes seem real.

Can anyone give me a better excuse of why it costs so much more to get title insurance in Tennessee?

Thanks
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Old 06-16-2013, 08:36 AM
 
1 posts, read 5,867 times
Reputation: 12
We also thought title insurance was very high when we purchased a house a year ago. It was about 4 times the amount we paid in Ohio. The title companies are making a killing on this. I can't believe the state of Tennessee allows this kind of thing. Someone must be being paid off!!!
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Old 06-16-2013, 09:49 AM
 
Location: Brentwood, Tennessee
49,927 posts, read 59,955,675 times
Reputation: 98359
Wow, two brand new posters here to complain about title insurance on the same day?

If you are the buyer, you are allowed to shop these policies around. If will be immediately obvious who is over inflating their fees.

It happens because most buyers don't really understand the process.
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Old 06-17-2013, 09:27 AM
 
1 posts, read 5,831 times
Reputation: 15
Wow, this is what happens when people don't know the real facts. I work for a large national title insurer. Rates are filed in both Ohio and Tennessee. They are not filed in Georgia. I just compared prices for title insurance for a $250,000 house in each state. Ohio is NOT 1/4 of the price that it is in Tennessee, actually it's almost twice the price. The total amount paid for an owner's and lender's policy in TN would be less than $800. In Ohio it would be over $1300. In Georgia, the owner's policy costs $100 less, but the loan policy costs $350 more, so the total cost in Georgia is more than in TN. Prices do vary by county in GA and TN. All rates can be shopped. Every company has a website with rates and in some states you can get help from the Department of Insurance. What you pay is also affected by the real estate contract you sign with the seller. In some states, seller's pay for owner's title insurance, in other states, the buyer pays for it. It's all negotiable in the contract, but that part if up to each of you as a buyer. Smart buyers use lawyers on real estate transactions for reasons just like this so they can save money. Bottom line is that the full cost of title insurance is CHEAPER in TN than in either OH or GA. How that cost is apportioned is up to you to figure out when you put together your real estate contract. The VA slandered TN for no reason. Folks in the industry there are just as good as anywhere else.
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Old 07-02-2013, 08:38 PM
 
2 posts, read 11,594 times
Reputation: 12
Since the VA office in Atlanta does thousands of home loans in the Southeast each year, I think I would believe them instead of someone that works in the title industry. It's very easy to check the fees for each state; Tennessee appears to have the highest fees.

Besides the bad closing experience, I have had excellent interactions with all other services.
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