![Cover image: 5 Title Company Questions [Answered] When Buying A Condo In Miami](/_next/image?url=https%3A%2F%2Fstatic.wixstatic.com%2Fmedia%2Fnsplsh_243b6c3ac7f341bab66155801c5a5bf9~mv2.jpg&w=3840&q=75)
Overview
A title company sits in the middle of a Miami condo purchase to confirm the seller can legally convey the property, clear any liens or outstanding taxes, and issue title insurance protecting the buyer. Title insurance itself is priced at a fixed rate set by the state of Florida — $5.75 per $1,000 for the first $100,000 and $5.00 per $1,000 up to $1 million — so it costs the same no matter which title company you use. Here are answers to the most common questions buyers have, from Glorivi Demorizi at Solomon, Cooperman & Recondo, LLP.
What Is a Title Company?
A title company sits in the middle of a real estate transaction to represent the transaction itself and issue a title policy. They confirm the seller has the right to convey the property, conduct a title search at the county and municipal level, satisfy any obligations that need to be cleared before the title transfers, and provide title insurance indemnifying the buyer against adverse claims arising from the transaction.
What Does the Title Company Do?
The title company receives and holds escrow funds, confirms all conditions between buyer, seller, and lender are met before closing, handles the actual closing, exchanges documents between parties, and disburses funds. They record the new deed and issue title insurance to protect both the buyer's and lender's interests.
What's the Process?
- Review signed contracts and addendums for terms and key dates, and build a timeline.
- Maintain ongoing communication with clients, attorneys, paralegals, realtors, brokers, and lenders.
- Order and review title commitment, municipal lien search, surveys, estoppels, payoffs, and zoning letters.
- Confirm title and lender requirements are met before closing, and prepare Closing Disclosures, affidavits, deeds, and other title-related documents.
- Coordinate and schedule the closing with all parties.
- Attend closing to confirm all documents are properly executed and notarized.
- Exchange executed documents with everyone involved.
- Record the insuring instruments — deeds, mortgages, assignments of rents and leases.
- Issue title insurance policies for owner and lender.
How Much Does a Title Company Cost?
Title insurance itself follows Florida's state-set promulgated rate: $5.75 per $1,000 of coverage on the first $100,000, then $5.00 per $1,000 up to $1 million — identical at every title company in the state, since the state, not the provider, sets this rate. On top of the premium, expect a separate settlement fee, typically $750 to $1,500 depending on the title company or law firm and the complexity of the transaction. This excludes recording charges typically due to the state and county. Customary closing charges for clearing title:
- Settlement fee: typically $750 to $1,500
- Title search: $100 to $200
- Municipal lien search: $100 to $300
- HOA estoppel: typically $200 to $500
- Survey: $395 to $1,500
- Recording fees (documentary stamp taxes and intangibles if financing): varies by county
How to Choose a Title Company
Look for a title company aligned with your own standards — one that provides the level of service you'd expect your own clients to receive. They should communicate diligently about any issues that come up during the transaction, and make sure title and lender requirements are met promptly so closing isn't delayed.
