which is better closing attorney or title agent

by Mohammed Fahey 7 min read

The costs of hiring a title company vs. an attorney are comparable:Many people believe that a title company is less expensive than an attorney. Our firm and most other local real estate attorneys charge approximately the same amount as title companies. We have even seen some title companies charge more than our typical closing fees.

Perhaps the biggest advantage to using attorneys as settlement agents is the fact that title agents do not have law degrees and cannot provide legal advice, input, or guidance, and they often simply don't have the knowledge or experience to address complex legal problems that arise.

Full Answer

What is the difference between a title company and a closing attorney?

Apr 19, 2013 · 1. When using an attorney as the closing agent, the client has legal representation throughout the transaction, from contract negotiations through closing. In contrast, a title company’s role is solely limited to preparing basic form documents necessary to issue a title insurance policy in connection with the closing. A title company cannot provide legal advice, …

What is the difference between an attorney and a title agent?

Jan 18, 2020 · Title companies ensure that a legal title to a property or piece of real estate is legitimate. A title insurance company or a title agent searches public records to ensure there are no issues with titles. They’ll verify a property’s legal claim of title and confirm all liens on the property about what’s valid and what’s not.

What does a real estate closing attorney do?

A closing attorney does the work more carefully and therefore the title insurance might be cheaper, but of course you pay attorney fees. If he find something unfavorable to you, which you may not have noticed, he will tell you and he will demand other parties to change the terms or negotiable with them.

Why should I hire an attorney instead of a title company?

When you’re considering choosing a title company vs. real estate attorney, you should think about the entire closing process and your closing experience. The closing experience and title product you will receive can vary significantly. So, when you’re seeking a title company or real estate attorney, here are a few attributes to look for;

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What are the responsibilities of the closing agent?

The duties of a closing agent include ordering title work and a property survey, assisting with obtaining requisite insurance, communicating with the lender and mortgage broker, issuing and sending the title insurance policy to both the buyer and lender, issuing the title commitment, assembling the loan closing package ...

Do you need a closing attorney in North Carolina?

North Carolina has a law that all real estate closings must take place with a North Carolina licensed attorney.Oct 28, 2011

Who chooses closing attorney in NC?

Under the law, really it's up to the parties to decide. It's a completely negotiable term. Each party or each side has an interest in choosing the closing agent. For the seller, they're the ones that have to provide clear title at the seller's table.

How much does a closing attorney cost in NC?

Third-Party Fees for Closing Your Loan

Around $2.50 per $1,000 of the purchase price of the loan will cover title insurance. $900 and up for an attorney depending on the attorney you choose (ask us for a referral).

What does a closing attorney do in NC?

They look for deeds of trust, judgments, past due taxes and information to make sure the sellers are the owners of the property – otherwise, anything that might affect the buyer's ownership of the property or an issue that clouds the title.Mar 6, 2017

Can a title company do a closing in NC?

But this isn't the case. North Carolina is still one of the least expensive states to close a real estate deal in. Does NC Use Title Companies? Absolutely.May 18, 2021

Does NC use title companies?

NORTH CAROLINA

Attorneys or lenders may handle closings, and corporate agents issue title insurance. Conveyance is by warranty deed.

Do I need an attorney to buy a house in NC?

Unlike in many states, North Carolina law requires sellers to involve a lawyer in the house closing and other aspects of the real estate transaction.Jun 18, 2021

What is a closing agent?

A closing agent, sometimes referred to as a closing title agent, is responsible for many components necessary to make a successful closing. Like a title company, a closing agent is charged with title research and making sure there aren't any issues with a title that might present the legal transfer of the property, such as undisclosed liens, ...

What is a good closing company?

A good closing company has the experience, all of the professionals necessary to organize and finalize a successful closing, and relationships in the real estate business that can help facilitate the closing process.

What is title company?

What is a Title Company? If you examine the duties of a title company and compare them to a closing agent's function, you will see that a title company and a closing agent are almost synonymous with one another. That being said, a title company's primary role regards the title and its integrity. Like a closing agent, the title company performs the research necessary to ensure a title can be transferred and that no issues are likely to arise in the future regarding the sale of the property and transfer of title. Some title companies expand their role in the closing process by offering escrow services and providing title insurance to sellers, buyers, and lenders. This is done in an effort to provide an all-around real estate transaction service designed to make the process of closing as easy as possible when it comes time to close a deal. A title company has a closing agent working for them, so using a title company with expanded services is really the best way to go. A good closing company has the experience, all of the professionals necessary to organize and finalize a successful closing, and relationships in the real estate business that can help facilitate the closing process.

What does it mean when a buyer and seller close on a house?

A successful closing, of course, means that the seller walks away with his money and the buyer is the proud owner of a new home. It's a time for celebration when the closing ...

What is the best title company in Florida?

Key Title & Escrow is the best Florida title and escrow company in the state. After serving the real estate industry for more than 21 years, we've built a reputation for efficient, stress-free closings and we've developed the relationships that show our solid commitment to excellence. We take pride in our closings and work hard to provide real estate services and customer service that adheres to the absolute highest set of standards in the industry. Our fast, reliable, professional service and our commitment to getting the job done is the foundation of everything we do. If you're ready for title and escrow services and ready to close on your home, there's no better choice for you that and begin settling in, you won't make a better choice for you than Key Title & Escrow. The quality of our service, our commitment to the real estate industry and our customers, and the relationships we've built in Florida are testament to our ability to provide you with the best closing anywhere. Whether you are a buyer, seller, or realtor, you are our priority.

What documents do closing agents sign?

Some of the documents include financial documents related to the transaction, including commission and seller payments, taxes and fee, etc. The closing agent brings all the paperwork together and sets the time and place for the documents to be signed.

What is key title escrow?

Key Title & Escrow is a Full-Service Company Are you in the state of Florida and purchasing a home? You need a company that can handle the closing for you Key Title & Escrow handles much more than just property title searches. Key Title & Escrow is the right choice for all your title and escrow needs. At Key Title & Escrow, our mission is to make the closing process trouble-free and to reassure our customers and the professionals we do business with that they are in good hands. Our title and escrow services are in place and maximized to streamline the closing process. We offer a number of essential closing services, including property title searches, searches for judgements and liens, record owner searches, and we offer Florida title and homeowner's insurance. All of these services are crucial to the process and our professional in-house staff handles them for you.

What is a closing attorney?

A closing attorney, typically, will be someone who advises you and makes sure that the title company is doing the right thing and that you’re being properly treated, and that if there’s a contract to be negotiated or anything else that needs to be negotiated, that it’s being done properly.

Who owns a title company?

Either the title company will be owned by attorneys, or in the alternative, the title company will be part of the law firm and they will be providing title services within the context of a law firm. My preference is title companies that are probably owned by lawyers . I think it works better and it seems to be sometimes less expensive and more efficient, but both models work.

What is Weston Title?

Weston Title & Escrow is a trusted South Florida title company, serving Broward, Miami-Dade and Palm Beach Counties as well as the entire State of Florida since 1994.

Is closing attorney involved in closing?

The closing attorney may or may not be involved in that process depending on who has hired that attorney.

What is the difference between a title company and a real estate attorney?

1. A title company works for the title insurer, not the buyer or the seller, whereas real estate attorneys work for whomever hires them.

What is the role of title company?

The title company’s role is to prepare the basic closing documents required by the title insurer to complete the transaction and issue the title insurance policy. 2. Title agents do not have law degrees and cannot provide legal advice.

What are closing costs in Florida?

Many closing costs such as title insurance premiums, documentary stamps, and recording costs are set by the State of Florida. They are the same whether an attorney or a title agent is facilitating the process.

Can a title agent hire an attorney?

Attorneys can provide legal advice on the best way to handle the issue, as well as prepare necessary documents, title agents cannot. Depending on the issue, a title agent will in fact have to send parties out to hire an attorney (at their own expense) to handle specific problems.

Can a title agent provide advice?

A title agent cannot provide advice in this situation, but an attorney can. Realtors as well as the buyer/seller, benefit from working with attorneys since the attorney can review the contract and answer legal questions during the contract negotiation process; title companies cannot. 3. Title agents cannot create contract addenda, ...

Can a title company give advice?

When there are problems or questions, the buyer/seller can’t turn to the title company for help or advice. One of the most common issues that comes up is how to take title to the property, which has legal and tax ramifications. A title agent cannot provide advice in this situation, but an attorney can. Realtors as well as the buyer/seller, benefit ...

Does Florida require a title company?

A Title Company. Unlike many other states, Florida does not require the use of an attorney during a real estate transaction. Buyers and sellers have the choice of using an attorney or a title company to handle the closing on their real estate transaction. This often causes the parties to wonder why they should hire an attorney instead ...

What is the role of a title company?

In contrast, a title company’s role is solely limited to preparing basic form documents necessary to issue a title insurance policy in connection with the closing. A title company cannot provide legal advice, input, or guidance.

What is the most important decision a buyer has to make when buying a home?

5.When purchasing real estate, one of the most important decisions the Buyer has to make is how to take title to the property. An attorney can discuss the options available to the Buyer and the legal aspects and tax advantages concerning same. A title company cannot provide this important legal advice.

Can a title company prepare a contract addenda?

An attorney can prepare such documents, whereas the title company in many instances cannot (or should not).

Can an attorney issue title insurance in Florida?

In Florida, both, attorneys and title companies, may issue title insurance. In contrast, in some states, like Delaware, only attorneys may issue title insurance. The title insurance rates are promulgated by the Department of Insurance so title insurance obtained through an attorney is priced the same as from a title company. In addition, closing costs charged by an attorney acting as a closing agent are comparable to those charged by a title company. With that said, what is the difference using an attorney rather than a title company for closing?

Do title companies have attorneys?

In summary, both, title companies and attorneys, strive to assure all parties involved in the transaction a smooth closing process from contract to a successful closing. However, as noted above, there is a major benefit in having an attorney as your closing agent and on your closing team.

Is this communication intended to establish an attorney client relationship?

This communication is not intended to establish an attorney client relationship, and to the extent anything contained herein could be construed as legal advice or guidance, you are strongly encouraged to consult with your own attorney before relying upon any information contained herein.

What is a title company?

A title company ensure s that a legal title to property or a piece of real estate is legitimate. And a title insurance company or a title agent searches the public property records. They’ll verify a property’s chain of title. They confirm all liens on the property as to what’s valid and what’s not.

What is title insurance?

A title company ensures that a legal title to property or a piece of real estate is legitimate. And a title insurance company or a title agent searches the public property records. They’ll verify a property’s chain of title. They confirm all liens on the property as to what’s valid and what’s not. They also insure the past and present ownership interest in a piece of real estate. Title agents then issue a title insurance policy for that property, usually for the amount of the purchase price or for the amount of the mortgage. Title insurance will protect the new owner of a property or the lender. They’re doing this to protect against future lawsuits or claims against the property that evolve from disputes between parties over a property ownership.

Do you need title insurance if you have a mortgage?

So, obtaining title insurance is required if you’re going to go get a mortgage or if you’re going to go sell a piece of property to a buyer who wants to make sure that you are the actual legitimate owner of this property. Getting a real estate attorney is not mandatory, although having title insurance is not optional.

Is it mandatory to have a real estate attorney?

Getting a real estate attorney is not mandatory, although having title insurance is not optional. It is optional to hire a good real estate attorney to review your legal documents before you close and you want to have one to prevent legal problems in the future.

Do title agents have legal degrees?

And while a title agent may have experience on how to correct many minor issues, they usually don’t have law degrees and they cannot provide legal advice to parties in a transaction when more serious legal issues arise and these title issues will affect ownership rights. This is where attorneys, real estate attorneys, come in to play.

Do realtors work with attorneys?

Realtors, as well as buyers and sellers and lenders, all benefit from working with attorneys as the attorney will review the purchase agreement. They can also answer legal questions concerning the contract or the negotiations, and how that might affect a property’s title.

What does a title company do?

The title company will conduct a thorough title search and examination, and provide you with peace of mind that you are purchasing the property without any liens, encumbrances or title issues.

What is title insurance?

Owner’s title insurance will protect you against any loss that can arise due to undiscovered defects with the title of the property. The lender’s title insurance policy that you are required to pay for by the lender as part of your loan requirements, cannot shield you from losses due to unforeseen title issues.

Who pays for the lender's policy?

Under some purchase contracts, the seller provides and pays for the owner’s policy but the buyer pays for the lender’s policy. In this situation, because the buyer is paying for the lender’s policy, under RESPA, the seller is prohibited from requiring the buyer to purchase that lender’s policy from a particular title company.

Can a seller require a buyer to pay for title insurance?

If the seller agrees to pay for the title insurance (owner and lender’s policy), this provision would not apply. However, if the buyer is paying for title insurance (lender and/or owner’s policy), the seller cannot require the buyer to purchase the insurance from a particular title company.

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