The full explanation
In most states, the fee for conducting your closing is also part of its charges. If title services are listed in section C of your Loan Estimate, you can shop for them yourself. Under the federal Real Estate Settlement Procedures Act (RESPA), a seller may not require you to buy title insurance from a particular company.
An example
Carmen's Loan Estimate lists the title services in section C. She asks other title companies for prices and compares before choosing.
You will see it in…
- The Loan Estimate, sections B or C (“Title – …”)
- The title commitment before closing
- The Closing Disclosure, under “Settlement Agent,” when the company conducts the closing
