Costs — 5 min read
Refinancing? How to avoid paying full title premium twice
A refinance only needs a new lender's policy — and if you can produce the prior policy, it often costs substantially less.
You are insuring the loan, not the ownership
Your owner's policy from the original purchase stays in force. The refinance requires a new lender's policy for the new loan amount, which is why the total is normally far lower than a purchase closing.
Reissue and refinance rates
Both New York and New Jersey recognize discounted rates when a property was previously insured, subject to the underwriter's rules. In New Jersey, refinance rates commonly step down based on how recently the prior policy was issued.
The discount usually depends on producing evidence of the prior policy, so find it before ordering.
What to gather before you order
- A copy of the prior owner's or lender's policy, including the liability amount and policy date
- The current payoff statement and loan number for the mortgage being replaced
- Any recorded home equity line, which must be formally closed and discharged
- Recent survey, if a survey endorsement will be required
What still gets charged
Search and examination, settlement, recording and any lender-required endorsements are charged on a refinance regardless of the discount on premium.
Questions
Good to know.
No. Your existing owner's policy remains in effect; only the lender needs new coverage for the new loan.
Ready when you are.
Run a preliminary estimate in about a minute, or send us the transaction and our team will follow up with detailed figures.