Calculadora de Seguro de Título — Fórmula
## Title Insurance Explained
Title insurance protects against financial loss from defects in title to real property, such as liens, encumbrances, or ownership disputes.
### Two Types of Policies
- **Owner policy**: Protects the buyer for the full purchase price. One-time premium paid at closing, coverage lasts as long as you own the property.
- **Lender policy**: Required by the mortgage lender, covers the loan amount. Protects the lender until the loan is paid off.
### Simultaneous Issue Discount
When both policies are issued at the same time, the lender policy is significantly discounted (typically 25-40% off) because the title search has already been done.
### Rate Factors
Title insurance rates vary by state, some of which regulate rates. Rates generally range from $2 to $6 per $1,000 of coverage.
Title insurance protects against financial loss from defects in title to real property, such as liens, encumbrances, or ownership disputes.
### Two Types of Policies
- **Owner policy**: Protects the buyer for the full purchase price. One-time premium paid at closing, coverage lasts as long as you own the property.
- **Lender policy**: Required by the mortgage lender, covers the loan amount. Protects the lender until the loan is paid off.
### Simultaneous Issue Discount
When both policies are issued at the same time, the lender policy is significantly discounted (typically 25-40% off) because the title search has already been done.
### Rate Factors
Title insurance rates vary by state, some of which regulate rates. Rates generally range from $2 to $6 per $1,000 of coverage.
Ejemplo Resuelto
A $400,000 property with a $320,000 loan. Owner rate $3.50 per $1,000, lender rate $2.50 per $1,000, 25% simultaneous issue discount.
- Owner policy: $400,000 / 1,000 x $3.50 = $1,400
- Lender policy (full): $320,000 / 1,000 x $2.50 = $800
- Simultaneous discount: $800 x 25% = $200
- Lender policy (discounted): $800 - $200 = $600
- Total title insurance: $1,400 + $600 = $2,000
- Cost as % of property: $2,000 / $400,000 = 0.50%