How often are title insurance fees paid?

Title insurance fees are paid only once at the time of the closing of a real estate transaction. This fee is a one-time premium that provides coverage for the buyer (and sometimes the lender) against any potential issues with the title to the property, such as undisclosed liens or ownership disputes that may surface after the purchase has been completed.

Once the policy is issued, there are typically no recurring payments; the insurance remains in effect for as long as the insured party or their heirs hold an interest in the property. This distinguishes it from other types of insurance, such as homeowners or auto insurance, which are often billed monthly or annually. Understanding the one-time payment nature of title insurance is crucial for buyers, as they need to factor this cost into their closing expenses without expecting any future payments related to the policy itself.