Who Chooses a Title Company in Pennsylvania: Your Guide to Making the Right Decision

In the world of real estate transactions in Pennsylvania, choosing a title company is a significant decision that can impact the smoothness of your property purchase. Understanding who typically gets to make this choice and the factors involved is essential.

In this blog post, we will explore who selects a title company in Pennsylvania and provide valuable insights to help you make an informed decision.

The short answer is, the BUYER HAS THE RIGHT TO CHOOSE THE TITLE COMPANY IN PENNSYLVANIA.

The Importance of Choosing the Right Title Company

Before we dive into the specifics of title company selection in Pennsylvania, let’s emphasize the significance of this choice. A title company’s primary responsibility is to ensure the property’s title is clear of any issues or encumbrances that could affect your ownership rights.

They also issue title insurance, which safeguards you as the buyer and your lender from potential claims or disputes related to the property’s title.  Additionally, they conduct the closing, present lender documents and the deed, and record the new deed and mortgage.

Some title companies, like Capstone Land Transfer, also have attorneys on staff to review sales contracts, write an easement, or handle various issues that may arise with an estate, foreclosure, or divorce. 

A thorough title search in PA by the chosen title company can uncover hidden problems such as unpaid taxes, liens, or ownership disputes. Resolving these issues before closing is pivotal in ensuring a seamless and trouble-free real estate transaction. For a comprehensive understanding of what to expect during this process, including the closing costs, be sure to read our informative blog on how to prepare for closing costs in PA.

Therefore, selecting the right title company is crucial to the overall success of your property purchase.

Understanding Pennsylvania’s Common Practice

In Pennsylvania, it is customary for the buyer to have the privilege of choosing the title company. This practice differs from other states where the seller usually makes this decision.

The buyer’s ability to select the title company in Pennsylvania gives them more control over the process and ensures their interests are safeguarded.

Buyers can explore their options and select a title company that meets their needs and preferences. Recommendations from real estate agents, attorneys, or lenders can be invaluable, but ultimately, the final decision rests with the buyer.

What factors should you consider when choosing a title company in Pennsylvania?

• Cost

  • Title insurance in Pennsylvania is regulated, so every company must charge the same price for title insurance

  • Fees such as deed preparation, courier fees, eDoc fees and other small fees will vary from company to company.

•  Is an Attorney on staff and available for legal advice or surprises?

  • Pennsylvania does not require real estate attorneys to issue title insurance.

  • Does the company have an attorney on staff?

  • Is an attorney available to you for questions or FREEE consultations?

• Will they conduct the closing at a location of your choosing?

  • It is typical to close on a property at either the Realtor’s office or the Title company’s office.  In some cases, it is more practical to close at a home or other convenient location.

  • Do they offer Online Closings in PA?

• Can they close on time?  

  • Will they guarantee it?

• Are they experienced with your specific type of purchase (commercial, land, warehouse)

Negotiating Title Company Selection

While the buyer has the primary responsibility of choosing the title company in Pennsylvania, negotiations regarding this decision can still take place. A Builder might have a preferred title company and could offer incentives or concessions to encourage the buyer to use their choice.

Buyers should carefully weigh any offers from the seller related to the title company. Balancing convenience, cost-effectiveness, and the reputation of the title company is essential to make an informed decision.

Choose the Right Title Company in PA

In Pennsylvania, the buyer typically has the privilege of choosing the title company. This arrangement gives buyers more control over a critical aspect of the real estate transaction.

While sellers may make suggestions or offers related to the title company, the final decision should be based on the buyer’s preferences and needs and carefully considering all factors.

Selecting the right title company ensures a seamless and successful real estate transaction. Take the time to research your options, seek recommendations from trusted professionals, and make an informed decision.

By doing so, you’ll have the peace of mind you need when purchasing a property in the Keystone State.

You can not go wrong when choosing Capstone Land Transfer for your title needs in Pennsylvania. Contact us today to find out more and get the process started.