When you’re about to close on a house there are a lot of different things you’ll need to do. Among them is the actual closing ceremony, where you and the sellers sign the papers that officially transfer ownership of the house from them to you. By doing that, the mortgage and deed can be recorded, and you’ll own the house. To help reduce the chance of mistakes, you’ll want to hire a title company you can trust and feel good about. But how do you do that? Your real estate agent will have a company in mind, but if you’re not working with an agent or you’re not sure you want to use that one, you can select one on your own. Here are some things to consider, so you can hire a title company with confidence.
Do you trust your agent to choose a company?
If you have an agent you really trust and feel very comfortable with, you may want to let them choose the title company for you. Then the company you hire will come with the best recommendation you can get. Someone in the business generally has a much better idea of which title company will do a good job and which company may not, so your agent’s thoughts on the matter could hold some weight. The cost for the title company will be figured into your total closing costs, so you won’t have to pay in advance on matter whether you use the company suggested by your agent or decide that you’d rather work with a different one. When you’re not sure about your agent’s ability to choose the right title company, you can go out on your own to select one you feel better about.
What kind of local reputation does the title company have?
As you’re buying a house, you want to work with the people and companies you feel will handle the transaction in the best way possible. Before you decide which title company to hire, consider the reputation that company has. If a lot of people recommend it and have good things to say about it, your chances of having a problem there are probably much lower than for a company many people don’t like or trust. However, the local reputation of your title company isn’t everything, and it’s important that you see for yourself. Talking to the title company and asking some questions about the closing process can help you make a hiring decision.
Are you buying in your current location?
When closing on your new home, it’s much easier to buy near where you live. If you buy in another city or state and you can’t be present at the closing, you may not get the opportunity to talk with the title company in person. There’s no reason you can’t email or call, though, and ask any questions you have. Since it’s your closing transaction, you want to feel good about it and make sure it’s done right. Don’t stop pursuing any concerns you have when hiring a title company, and don’t automatically assume that every company will do things exactly the same way. You’ll feel better and have a lot more peace of mind if you’ve had the chance to talk to the title company, especially when you’re buying in a far-off location.
Have you researched the company?
One of the best things you can do when you’re going to hire a title company is to research that company carefully and thoroughly. While you can’t believe everything you read online, you can get a much better idea of whether you’re choosing the best option for your needs. By seeing what other people are saying, what kinds of ratings they’re giving to the company, and if there are complaints, you’ll get a good picture of what the company offers. Especially if you find a number of complaints that are all about the same issue, that can be a read flag for that particular company, and you may want to consider hiring a different one.
Can you find any actions taken against them?
The internet should provide you with one other thing that’s important to know: whether there has ever been any action taken against the title company. In other words, have they been fined by a governing body? Have they been sued, and did they lose the suit? These types of issues don’t necessarily mean that you shouldn’t hire that company, but they do mean that you’ll want to be careful and do more research before deciding. If the concerns are ongoing, that may be a good reason to avoid that company and select a different one. Even if your agent or other people recommend a particular title company, that doesn’t mean you have to agree with that choice or use that particular company if you would prefer to choose differently.
Are they BBB accredited?
The Better Business Bureau (BBB) has information on many different types of companies, and title companies are no exception. The company may or may not be officially registered with the BBB, but you can often find information on companies even if they aren’t registered there. You can locate formal complaint information, find out how long the company has been in business, and have peace of mind when you decide which title company you want to hire for your real estate transaction.
2 Point Highlight
If you have an agent you really trust and feel very comfortable with, you may want to let them choose the title company for you.
One of the best things you can do when you’re going to hire a title company is to research that company carefully and thoroughly.
