Lower interest rates have motivated you to refinance your home loan. The lower rate may save you a tremendous amount of money over the life of the loan, but you should also expect to pay the lender the typical closing costs associated with any new loan, including service fees, points, title insurance protection and other expenses.
To the lender, a refinance loan is no different than any other home loan. So, your lender will want to insure that their new loan is protected by title insurance, just as the original lender required. Therefore, when you refinance you are buying a title policy to protect your lender.
Most lenders generate loans and then immediately sell those loans to secondary market investors, such as FannieMae.
FannieMae, in order to protect its security interest in the loan, requires title insurance coverage. Even those lenders who keep original loans in their portfolio are wise to get a lenders policy to protect their investment against title related defects.
Perhaps. Who pays for the lender’s policy on a purchase loan varies regionally and by the terms of individual contracts.
However, even if you did buy a lender’s policy when you purchased your home, the lender’s policy remains in force only during the life of the loan that was insured. If you refinance, the old loan is paid off (the “life” of the loan expires) and a new loan is issued for which the lender will require a new title insurance policy.
When you bought your home, you purchased a Homeowners title policy. The Homeowners’ policy stays in force as long as you or your heirs own the home. When you refinance, your lender will often require that you purchase a new lender’s policy to protect their new security interest in the property. Thus, you are buying a policy to protect your lender, not a new Homeowner’s policy.
Since the time that the original loan was made, you may have taken out a second trust deed on the house or had mechanic’s liens, child support liens or legal judgments recorded against you - events that could result in serious financial losses to an unprotected lender. Regardless if it has been only 6 months or less since you purchased or refinanced your home, a myriad of title defects could have occurred. While you may not have any title defects, many Homeowners do. The only way for a lender to adequately protect itself is to get a new lender’s policy each time you purchase or refinance your home.
Yes. Title companies offer a refinance transaction discount or a short-term rate. Discounts may also be available if you use the same lender for your refinance loan and your original loan. Be sure to ask your title company how they can save you money.
Article by CLTABack to Table of Contents
Welcome to the next generation of real estate service in Colorado - HQ Homes. HQHomes has been offering full service discounted flat fee real estate services for over 18 years serving thousands of satisfied customers whose savings total well over 1 million dollars.
Our Beliefs are "Treat the customer right - give them a GREAT deal and they will refer their friends and family
While it may seem pretty simple most corporate real estate companies don't get it, still charging high commissions. At HQ Homes flat fee real estate we have a different philosophy - You are more than just another customer to us - you are a life long client, friend, and our best salesperson.
Buying a Home?
We reward our home buying clients with up to 1/2 of our commission*. Simply buy a home and we give you up to 1/2 of the commission* towards your closing costs with our home buyer rebate.
Selling a Home?
We only charge a 1% flat listing fee fee* to sell your home, providing our customers full service and a industry leading marketing package, giving you better service and marketing than those high commission competitors.
Almost everyone we talk to asks "What is the CATCH?!?"
The catch is, if you buy a home without HQ Homes as your real estate company, without our flat fee you are giving away THOUSANDS of YOUR HARD EARNED DOLLARS.
Call Today And Find Out Why We Were Voted The #1 Real Estate Company.
Our Home Buyer Rebate Program is the best you will find in the Denver or Castle Rock Colorado real estate markets. At HQ Homes we make the home buying process simple, fun and profitable to you with our home buyer rebate. If you are like many of today's savvy homebuyers, you are more comfortable doing the initial legwork and research. Perhaps you only want to engage a real estate pro when you are ready and on your terms. If this is you, then you are our ideal client! Please give us a call.
Almost everyone we talk to asks us how we can offer our service at such a low cost while other people are paying commissions up to 7 times what we charge. The answer is very simple - VOLUME. We determined that we would rather help more customers, which equates to a bigger customer base who refer us more business, in turn lowering our costs of doing business. This decision has allowed us through our flat fee listing and home buyer rebate to pass these savings on to you, our clients. We continue leading the Denver real estate market into the next generation of real estate with the highest productivity and customer satisfaction rankings.
Our clients are so impressed with us that the average client refers 3 new clients to us! That's the nex generation of real estate, treating your customers right!
*Subject to lender approval, RESPA Act, and our legal disclaimer - We reserve the right to change the home buyer’s rebate program and home seller's program at any time for any reason without notice.
Home | About Us | My Blog | Video Testimonials | Mortgage Rates | Buyer/Seller Info | Contact Me | Real Estate News | Sell Your Home - 1% | Buy a Home - Rebate | Search for Homes | Advanced Search | Map Search | Foreclosures | Reunion CO Homes | Castle CO Rock Homes | Highlands Ranch CO Homes | Open Houses | FBHQAD-5816 | Our Preferred Lender