Why is the title insurance premium on the Loan Estimate and Closing Disclosure different from the premium listed on the paperwork I received from the title insurance company? Am I being charged more?
You're not necessarily being charged more if the amounts on your loan forms are different from your title insurance paperwork.
The Loan Estimate and Closing Disclosure are forms that went into effect on Oct. 3, 2015.
Depending on the state where you are buying your home, your title insurance company may give you an itemized list of fees at closing. The itemized list of fees required under state law may be displayed differently than the same fees on the Loan Estimate or on the Closing Disclosure. That does not necessarily mean you are being charged more. If you add up all the title-related costs your title insurance company gives you, it should match the totals of all the title-related costs you see on the Loan Estimate or on the Closing Disclosure. When comparing costs for title insurance, make sure to compare the bottom line total.
Note: You should have not received a Loan Estimate or Closing Disclosure if you applied for a mortgage or reverse mortgage prior to Oct. 3, 2015. For those loans, you will receive two forms — a Good Faith Estimate (GFE) and an initial Truth-in-Lending disclosure — instead of a Loan Estimate. Instead of a Closing Disclosure, you will receive a final Truth in Lending disclosure and a HUD -1 Settlement Statement. If you are applying for a HELOC, a manufactured housing loan that is not secured by real estate, or a loan through certain types of homebuyer assistance programs, you will not receive a GFE or a Loan Estimate, but you should receive a Truth-in-Lending disclosure.
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