How much does title insurance cost?

On a $400,000 purchase with a $320,000 loan, owner's plus lender's title insurance typically lands between about $1,800 and $2,800 depending on the state. Texas is $2,362 on those inputs under the March 2026 TDI schedule; Florida is $2,578 under Fla. Admin. Code 69O-186.003. Rates are set by law in Texas and Florida; elsewhere they vary by underwriter.

Who pays for title insurance - buyer or seller?

The buyer almost always pays for the lender's policy. Who pays for the owner's policy is local custom: seller-pay in Texas, Illinois, and most of Arizona; buyer-pay in New York, Pennsylvania, and New Jersey; county-by-county in California and parts of Florida. It is negotiable in the purchase contract.

What is the difference between owner's and lender's title insurance?

Owner's title insurance protects the buyer for as long as they (or their heirs) own the home, and is calculated on the purchase price. Lender's title insurance protects the mortgage lender up to the loan amount and is almost always required when you finance. Both are one-time premiums paid at closing.

Can I shop around for cheaper title insurance?

In Texas, Florida, and New Mexico the base premium is set by the state, so shopping title companies will not change that number. In filed-rate and open-rate states (California, New York, and most others) underwriters set their own rates, so comparing quotes can save hundreds of dollars. Simultaneous-issue discounts apply almost everywhere when both policies are bought at the same closing.

Is title insurance required?

Lender's title insurance is virtually always required if you are financing the purchase. Owner's title insurance is optional but strongly recommended - it is the only policy that protects your own equity, not just the bank's. On a cash purchase there is no lender's policy.

Is title insurance a recurring cost?

No. Unlike homeowners insurance, title insurance is a one-time premium paid at closing. An owner's policy covers you for as long as you (or your heirs) hold an interest in the property. A lender's policy covers the life of the loan.

Why do title insurance rates differ so much by state?

Title insurance is state-regulated. A handful of states (Texas, Florida, New Mexico) promulgate a single statewide schedule. Most others let insurers file their own rates. Local closing customs, rating bureaus (TIRSA in New York, TIRBOP in Pennsylvania, OTIRB in Ohio), and county-level practices create the rest of the spread.

What does this calculator leave out?

Base policy premiums only. Endorsements, title search fees, escrow or settlement fees, attorney fees, and closing-protection letters are out of scope. Your Closing Disclosure from the lender is the binding number.

Title Insurance Calculator

What title insurance covers

Title insurance protects against defects in a property's ownership history - undisclosed liens, forged deeds, unpaid taxes, boundary errors, or fraud that could threaten your legal claim to the home. Unlike homeowners insurance, it is a one-time premium paid at closing, not a recurring bill.

Owner's policy - protects the buyer for as long as they (or their heirs) own the home. Face amount = purchase price.
Lender's policy - protects the mortgage lender up to the loan amount. Almost always required when you finance; usually issued simultaneously with the owner's policy at a discounted add-on rate.

Worked example: $400,000 purchase, $320,000 loan

Same inputs across five states. Numbers come from the calculator engine above - Texas and Florida are official promulgated schedules; California and New York are filed-rate estimates; West Virginia uses the national-average formula.

State	Owner's	Lender's	Total	Owner paid by
Texas (promulgated)	$2,262	$100	$2,362	Seller
Florida (promulgated)	$2,075	$503	$2,578	Varies by county
California (filed est.)	$1,300	$468	$1,768	Varies by county
New York (filed est.)	$1,915	$476	$2,391	Buyer
West Virginia (estimate)	$2,000	$800	$2,800	Buyer

Notice the Texas lender's add-on is only $100 under Rule R-5 simultaneous issue - that is why Texas looks cheaper than Florida on the same purchase even though the owner's premium is higher. In New York the buyer typically pays both policies, so the out-of-pocket title cost lands entirely on the buyer side.

Promulgated vs filed-rate states

In Texas and Florida (and New Mexico), the base premium is set by the state regulator. Every licensed title company charges the same number for a given face amount - shopping the company will not change the premium, only the service fees layered on top. In filed-rate and open-rate states, underwriters set their own rates within regulatory limits, so comparing quotes can save real money.

Sources: Texas Department of Insurance basic premium rates (eff. Mar 1, 2026); Fla. Admin. Code 69O-186.003; CFPB - What is owner's title insurance?; American Land Title Association.

Related tools

Closing Cost Calculator - full buyer closing-cost estimate with transfer tax, origination, and prepaid escrow.
Who Pays Closing Costs? - state-by-state breakdown of buyer vs seller customs across every major line item.
Seller's Net Sheet - what the seller walks away with after commissions, title, and payoff.

Disclaimer: Estimates only. Texas and Florida use state-promulgated base rates; California and New York use approximate filed rates; every other state uses a national-average estimate. Endorsements, search fees, escrow fees, and CPL fees are not included. Who pays is local custom and negotiable - not law. Your Closing Disclosure is authoritative. This is not financial or legal advice.