EnTitle Insurance offers new property title product
Consumers take control of costs

Many regulators, including the U. S. Government Accountability Office, have openly criticized the nature of the real estate closing process, the high cost of title insurance and the title insurance industry overall. One company has decided to take action in improving the consumer experience with a simple yet effective solution -an open closing providing consumers with the right to choose their title insurance company and save hundreds or thousands of dollars.

Far too often, the excitement of purchasing a home is over-shadowed by anxiety, confusion and intimidation at the closing table. Surprise closing costs are the primary reason. Moreover, consumers are frustrated that they pay high title insurance premiums when they re-finance, too. EnTitle Insurance Co. has developed a digital plat-form, Entitle Direct, to educate and empower consumers to monitor their home closings and save on their title insurance. In Delaware, Entitle Direct’s premium rates are 35 percent lower than those offered by other title insurance companies in the state.

This will result in cost savings on closing costs for home purchases and refinances. For example, in Delaware last year, title insurance premiums totaled $73 million. Through Entitle Direct, consumers could have saved more than $26 million on those premiums, according to the company. “Numerous federal and state regulatory authorities and consumer advocates are vocally critical of the high cost consumers pay for title insurance and a real estate process that keeps consumers in the dark. Entitle Direct was created for consumers by consumers to address these concerns,” said Timothy Dwyer, president and CEO of Entitle Direct Group.

“Whether people are purchasing a home for the first time or refinancing a home, they can work with Entitle Direct to organize the entire closing process and know what to expect at closing.” Unfortunately, said Dwyer, most people do not understand how the closing process works; they just rely on their agent, broker or lawyer to handle it for them.

Education important
According to a U. S Government Accountability Office statement: “Price competition between title insurers and between agents, from which consumers would benefit, needs to be encouraged. Educating consumers about title insurance is critical to achieving this objective.”
Typically, title companies work directly with Realtors, attorneys or lenders who order the title search and title insurance on a customer’s behalf early in the closing process - and often with-out the customer’s knowledge.

This insurance is required by virtually every lender before it will lend money for either purchases or refinances, and the consumer pays for the insurance at closing. What consumers don’t know, however, is that title agents may take, on average, a commission that is 70 to 90 percent of the premium.

Title insurance and other closing costs are listed on the U. S. Department of Housing and Ur-ban Development- 1 (HUD- 1) settlement statement that is provided at closing. Consumers often feel intimidated to ask questions about the costs they are being charged.

At Entitle Direct consumers are in control and can monitor their closing process on a daily basis using the Control Panel, an industry first, which has a patent pending with the U. S. Patent and Trademark Office. Unlike any technology previously available, it provides dynamic, interactive tools such as the ability to upload and store closing documents, as well as download a HUD- 1.