Title Insurance Calculator

Estimate lender's and owner's title insurance premiums with state-specific regulated rates. Includes simultaneous issue discount, refinance reissue rates, and comparison of standard vs enhanced coverage.

$
$
Total Title Insurance Cost
$1,264
With simultaneous issue discount
Lender's Policy: $364
Owner's Policy: $900
Lender's Policy
$364
Owner's Policy
$900
Simultaneous Discount
-$196
State
California

Two types of title insurance policies exist — and they protect very different things.

%
Lender's Policy (Required)
$364
Who requires it: Your lender — mandatory for any mortgage
Who it protects: The lender only
Coverage amount: Loan amount (decreases as you pay)
Duration: Until loan is paid off
Transferable: No — tied to the loan
Owner's Policy (Optional but Recommended)
$900
Who requires it: No one — but highly recommended
Who it protects: You, the homeowner
Coverage amount: Home value (can increase with ALTA enhanced)
Duration: As long as you or heirs own the property
Transferable: Yes — to heirs
Lender's (Full Price)
$560
Before simultaneous discount
Simultaneous Discount
-$196
35.0% discount when issued together
Lender's (After Discount)
$364
Your actual cost
Owner's Policy
$900
One-time premium, lifetime coverage
Total Combined
$1,264
Best value: always buy simultaneously
Owner's Policy Alone (Hypothetical)
$1,460
Cost if you didn't buy simultaneously
Always buy both policies simultaneously. The simultaneous issue discount saves you $196 (35.0%). Buying them separately later would cost significantly more.
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How does title insurance fit into your total closing costs?

Total Estimated Closing Costs
$9,264
Title insurance is 13.6% of total closing costs
Other Closing Costs: $8,000
Lender's Title Insurance: $364
Owner's Title Insurance: $900
Title as % of Loan
0.40%
Industry average is 0.5-1% of loan
Title as % of Closing Costs
13.6%
Usually 10-20% of total closing costs
Total Cash to Close
$89,264
Down payment + all closing costs

How to Use This Title Insurance Calculator

Enter three values to estimate your title insurance costs:

The calculator shows both policies separately, applies the simultaneous issue discount automatically, and breaks down the total cost.

Lender's vs Owner's Title Insurance Policy

There are two distinct title insurance policies issued at a real estate closing:

Policy Comparison

Lender's PolicyOwner's Policy
Required byYour lender (mandatory)No one (optional)
ProtectsLender onlyYou, the homeowner
Coverage amountLoan balance (decreases)Home value (stays or grows)
DurationUntil loan is paid offAs long as you own the home
Coverage basis$400,000 loan at 0.175%$500,000 home at 0.225%
Estimated cost$700 (with discount)$1,125

Should you buy the owner's policy? Yes, in almost all cases. It's a one-time premium that protects your full investment for as long as you own the home — one of the best value insurance purchases in real estate.

The Simultaneous Issue Discount

When you purchase both the lender's and owner's title policies at the same closing, most title companies offer a significant discount — typically 30-40% off the lender's policy premium.

This discount exists because the title company only needs to perform one title search and examination for both policies. If you were to buy them separately, you'd pay the full premium for each. Always buy both policies simultaneously to maximize this discount.

Without simultaneous discount:
Lender's ($700) + Owner's ($1,125) = $1,825

With 35% simultaneous discount on lender's:
Discounted lender's ($455) + Owner's ($1,125) = $1,580

Simultaneous savings = $245

Title Insurance Rates by State

Title insurance premiums are filed with and approved by state insurance regulators. Some states (like Texas and Florida) set promulgated rates where all title companies must charge the same price. Others allow competitive pricing within regulated maximums.

States with the highest rates include New York, New Jersey, and Massachusetts. States with more competitive rates include Arizona, Oregon, and Tennessee. The same $400,000 home can generate title insurance costs that differ by $500-$1,500 depending on the state.

Refinance: The Reissue Rate

When refinancing, you only need a new lender's title policy — not a new owner's policy (your owner's policy continues as long as you own the home). Better yet, most title companies offer a "reissue rate" for refinances:

Frequently Asked Questions

No lender or law requires you to purchase an owner's title insurance policy. Only the lender's policy is required when you have a mortgage. However, real estate attorneys and financial advisors almost universally recommend the owner's policy. It's a one-time premium for lifetime protection of your largest asset — typically less than 0.5% of the home's value.
The owner's policy lasts as long as you or your heirs have an interest in the property — potentially forever. The lender's policy lasts until the mortgage is paid off, refinanced, or the property is sold. Unlike other insurance, title insurance has no annual renewal premium — the one-time payment provides permanent coverage.
It varies by state and local custom. In many states, the seller traditionally pays for the owner's policy (as part of their obligation to deliver clear title). The buyer pays for the lender's policy. In Texas, the seller typically pays for both. In New York, the buyer pays for both. Always confirm with your real estate agent what's customary in your market — it's negotiable.
An enhanced (ALTA Homeowner's Policy) provides broader coverage than a standard policy. It adds protection for post-closing events like building permit violations, zoning issues, encroachments, and CC&R violations. It also includes an inflation endorsement that automatically increases coverage as your home value grows. The additional cost is typically 10-25% more than a standard policy.
In most states, yes — you can choose your own title company. In states with promulgated rates (Texas, Florida), all title companies must charge the same premium, so the price is the same everywhere. In competitive rate states, you can shop. The RESPA/CFPB rules prohibit your lender from requiring you to use a specific title company.

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Sources & References