Who pays for title insurance in Florida?
Depends. The title insurance premium payment is paid at closing by either the buyer or the seller, as specified in the contract. Occasionally, the cost may be split 50/50, but that is not the custom in Florida.
The first thing a buyer or seller should ask their real estate professional or attorney before they sign the contract is: “What is the custom in this county?” The reason for this is every county in Florida varies in its’ custom on who pays for title insurance, but that is only a custom and a buyer or seller can deviate from that anytime. For example, if a buyer is making a very strong offer and feels the seller should absorb the title insurance premium, they might consider asking the seller to pay for the premium. In this scenario, note that that then the seller will also SELECT the title agent and buyer will lose control over that decision. In the case of a low offer, the opposite might apply. Make sure that the party you wish to pay the title premium is clearly indicated in the offer to avoid issues.
Search your contract for the exact location that the selection and payment of title insurance agent is indicated. For example on the Florida FAR/BAR AS-IS 5 REV 4/17 the title insurance premium and selection of closing agent issue is addressed on line 162 and beyond of the contract:
Buyers and sellers need to be aware that the title premium and selection of title and closing agent varies by contract and also by the custom of the county the property is located in only. This is not controlled by State or Federal law.
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