What are the Rates for Title Insurance in Florida?
Before buying title insurance in the state of Florida, it's essential to understand what it costs; that way, you can be sure you're getting a fair deal. In Florida, title insurance is set at a promulgated (enforced) rate of $5.75/$1000 for purchases up to $100,000 and $5.00/$100 for purchases larger than $100,000.
For example, an $80,000 property would have a title insurance cost of $460 (0.00575 * $80,000), while a $200,000 property would have a title insurance cost of $1000 (0.005 * $200,000). However, this does not include other common costs that will have to be paid during the title insurance process. These often include:
- Settlement/closing fee: typically $350 to $400 in Florida, this is an fee charged to the title company to execute the final transaction.
- Sale documentary stamp tax: $0.70/$100 of sale price (typically paid for by the seller, but is sometimes paid for buy the buyer). In Miami-Dade County, this rate is set at $0.60/$100.
- Financing documentary stamp tax: $0.35/$100 of mortgage (buyers only need to pay this based on the amount of the loan they have taken out).
- Intangible tax: an additional $0.20 per $100 due to a county official before the mortgage can be recorded.
- Florida Form 9 Endorsement: sometimes known as an FF9, this endorsement, set at 10% of title insurance costs, requires a land survey, and is important to determine any easement or zoning issues that property buyers may not be aware of.
- Title search: Title searches typically range from between $500 for a single family home, to $1500 for a large commercial property.
Who Pays for Title Insurance in Florida?
Just as important as the cost of title insurance is who is required to pay it. This varies from county to county, and is set by historical precedent, though it usually can be negotiated before a property's closing. Here are a few examples:
- Miami-Dade County: Buyers are usually responsible for choosing a title company and paying for their owner's title insurance policy.
- Broward County: Buyers are typically responsible for choosing a title company and paying for their owner's title insurance policy.
- Palm Beach County: Sellers are typically responsible for purchasing title insurance for the buyer.
- Duval County: Sellers are typically responsible for purchasing title insurance for the buyer.
In most parts of Florida, buyers are still responsible for purchasing a lender's title insurance policy (assuming they have taken out a loan to buy the property). The above only refers to owner's title insurance. To learn more about how title insurance, title searches, and escrow services can help protect your property, consult with the experts at Florida Title Company for a free consultation.