How to Get Title Insurance in Fort Worth
How to Get Title Insurance in Fort Worth When purchasing a home in Fort Worth, Texas, one of the most critical yet often overlooked steps is securing title insurance. Unlike other forms of insurance that protect against future events—like fire, theft, or liability—title insurance safeguards your ownership rights to the property you’ve just bought. It protects you from hidden defects in the propert
How to Get Title Insurance in Fort Worth
When purchasing a home in Fort Worth, Texas, one of the most critical yet often overlooked steps is securing title insurance. Unlike other forms of insurance that protect against future events—like fire, theft, or liability—title insurance safeguards your ownership rights to the property you’ve just bought. It protects you from hidden defects in the property’s legal history that could threaten your claim to the home. These defects may include unpaid taxes, outstanding liens, forged documents, undisclosed heirs, or errors in public records. While lenders require title insurance to protect their investment, it’s equally vital for buyers to obtain an owner’s policy to shield their equity and peace of mind.
Fort Worth, as one of the fastest-growing metropolitan areas in the United States, has seen a surge in real estate activity over the past decade. With increasing property values and a competitive housing market, the risk of title irregularities has also risen. Many buyers assume that a thorough home inspection is enough to ensure a clean purchase. However, inspections assess physical conditions—not legal ownership. That’s where title insurance steps in. Understanding how to get title insurance in Fort Worth isn’t just a procedural formality; it’s a foundational layer of real estate security.
This guide provides a comprehensive, step-by-step roadmap to obtaining title insurance in Fort Worth. Whether you’re a first-time homebuyer, an investor, or relocating to the area, this tutorial will equip you with the knowledge to navigate the process confidently, avoid costly pitfalls, and ensure your ownership is legally protected for years to come.
Step-by-Step Guide
Obtaining title insurance in Fort Worth involves a series of well-defined actions that begin as soon as you enter into a purchase agreement and conclude at closing. Each step is designed to uncover potential title issues before they become legal or financial burdens. Below is a detailed breakdown of the process.
Step 1: Engage a Real Estate Agent or Attorney
Before initiating the title insurance process, it’s essential to have professional guidance. While Texas does not require the use of a real estate attorney for residential transactions, many buyers benefit from legal counsel, especially in complex situations such as foreclosures, estate sales, or properties with historical title quirks. A licensed real estate agent familiar with Fort Worth’s market can recommend reputable title companies and help coordinate timelines.
Choose an agent who has experience with local title practices and understands the nuances of Tarrant County’s recording system. Their role is not only to facilitate the sale but to ensure that title-related tasks are not overlooked during the escrow period.
Step 2: Sign the Purchase Agreement
Once you’ve found a property and your offer is accepted, you’ll sign a Texas Real Estate Commission (TREC) contract. This legally binding document outlines the terms of sale, including who is responsible for purchasing title insurance. In North Texas, it’s customary for the seller to pay for the owner’s title insurance policy, while the buyer covers the lender’s policy. However, this can be negotiated. Make sure the contract explicitly states which party is responsible for each policy.
Review the contract carefully. Look for clauses related to title commitments, survey requirements, and deadlines for title review. If the contract doesn’t specify, assume that you, as the buyer, will need to initiate the title search unless otherwise agreed.
Step 3: Select a Title Company
After signing the contract, you or your agent will select a title company to handle the closing and issue the title insurance policies. In Texas, buyers have the legal right to choose their own title company under the Real Estate Settlement Procedures Act (RESPA). This right is often overlooked, but selecting the right company can significantly impact the speed, transparency, and cost of your transaction.
Fort Worth has numerous licensed title agencies, including national firms like First American Title, Stewart Title, and Fidelity National Title, as well as reputable local providers such as Title Source, Texas Title Group, and Tarrant County Title Services. Look for companies with:
- Strong local presence and familiarity with Tarrant County records
- Positive client reviews and a history of timely closings
- Clear communication and digital document access
- Membership in the Texas Land Title Association (TLTA)
Don’t choose based solely on price. A low-cost provider may cut corners on title searches or delay closing due to inefficiency. Quality title service is an investment in long-term security.
Step 4: Order the Title Search
Once the title company is selected, they will initiate a comprehensive title search. This involves examining public records dating back up to 40–60 years in Tarrant County to trace the chain of ownership and identify any encumbrances. The search includes:
- Deeds and conveyances to verify legal ownership transfers
- Mortgages and deeds of trust
- Liens for unpaid taxes, HOA fees, or contractor work
- Judgments or bankruptcies affecting prior owners
- Easements, restrictions, or rights-of-way
- Probate records for inherited properties
- Marital status records to confirm spousal consent
The title examiner will also review the property’s survey to ensure boundaries match legal descriptions and identify any encroachments. In Fort Worth, where property lines can be ambiguous due to older subdivisions or unrecorded lot splits, this step is particularly crucial.
Ask your title company for a preliminary title report within 5–7 business days. This document outlines what’s found and what remains unresolved. Review it thoroughly with your agent or attorney.
Step 5: Review the Preliminary Title Report
The preliminary title report is your first opportunity to identify potential issues. Common findings in Fort Worth include:
- Unpaid property taxes from prior owners
- Homeowner association (HOA) liens for dues or fines
- Unreleased deeds of trust after mortgage payoff
- Missing signatures on prior transfers
- Unrecorded easements from utility companies or neighbors
If issues are found, they must be resolved before closing. For example, if a previous owner failed to pay property taxes, the title company may require those taxes to be paid from the seller’s proceeds. If a lien is invalid or improperly filed, the title company may need to obtain a release affidavit from the creditor. Some issues, like boundary disputes or unrecorded agreements, may require legal intervention.
Do not proceed to closing until all title defects are either cured or formally disclosed and accepted in writing. If you’re unsure how to interpret the report, request a meeting with the title officer or consult a real estate attorney.
Step 6: Obtain a Survey (If Required)
While not always mandatory, a current survey is highly recommended in Fort Worth, especially for properties in older neighborhoods like Near Southside, Fairmount, or the Historic Districts. A survey confirms the physical boundaries of the property and reveals any encroachments—such as a neighbor’s fence, shed, or driveway crossing into your land.
If your lender requires a survey, the title company will coordinate this. If not, consider ordering one independently. A survey can prevent future disputes and may be necessary to obtain certain types of title insurance endorsements.
Step 7: Review and Approve the Title Commitment
After resolving any title issues, the title company will issue a formal Title Commitment. This document outlines exactly what the title insurance policy will cover and what exceptions (if any) exist. The commitment has three main parts:
- Schedule A: Details of the transaction, including the insured parties, property description, policy amount, and premium.
- Schedule B-1: Requirements that must be met before the policy is issued—such as paying off existing liens or recording documents.
- Schedule B-2: Exceptions to coverage—items that the policy will not cover, such as easements, zoning restrictions, or mineral rights.
Review Schedule B-2 carefully. Some exceptions are standard (e.g., “rights of parties in possession”), but others may be unacceptable. For example, if the commitment excludes coverage for a known easement that significantly impacts your use of the property, you may need to negotiate with the seller or request an endorsement to remove the exception.
Ask the title company to explain every exception in plain language. If something is unclear, request a written clarification. Do not sign off on the commitment until you fully understand what’s covered and what’s not.
Step 8: Pay the Title Insurance Premium
At closing, you’ll pay the one-time title insurance premium. In Texas, premiums are regulated by the Texas Department of Insurance (TDI), so rates are standardized across all licensed title companies. The cost depends on the purchase price of the property. As of 2024, the typical owner’s policy premium in Fort Worth ranges from $500 to $2,500, depending on the home value.
For example:
- $150,000 home: ~$650
- $300,000 home: ~$1,300
- $500,000 home: ~$2,100
The lender’s policy is typically less expensive and is paid separately. You may be eligible for a “reissue rate” if the property was insured within the past 10 years. Ask your title company if a reissue rate applies—it can save you 30–40% on the premium.
Payment is usually made via certified funds or wire transfer. Never pay cash directly to the title agent. All funds must be handled through the title company’s escrow account.
Step 9: Closing and Policy Issuance
At closing, you’ll sign all necessary documents, including the deed, loan papers, and title insurance application. The title company will record the new deed with the Tarrant County Clerk’s Office and file the title insurance policy with the state.
Within a few days after closing, you’ll receive your owner’s title insurance policy in the mail. Keep this document in a safe place—along with your deed and survey. It’s your legal proof of ownership protection.
Do not assume the policy is active until you have the physical or digital copy in hand. If you don’t receive it within 14 days, contact your title company immediately.
Best Practices
Securing title insurance is not a one-time transaction—it’s an ongoing layer of protection that requires diligence. Below are best practices to ensure you get the most comprehensive coverage and avoid common mistakes.
1. Always Purchase an Owner’s Policy
Many buyers assume the lender’s policy is sufficient. It’s not. The lender’s policy only protects the mortgage holder’s interest up to the loan amount. If a title defect arises that invalidates your ownership, your equity—and your home—is at risk. An owner’s policy protects your full purchase price and remains in effect as long as you or your heirs own the property.
2. Request a Reissue Rate
If the property was previously insured, you may qualify for a discounted “reissue rate.” This is common in Fort Worth, where homes frequently change hands. Ask the title company for the prior policy number or date of last issuance. Even if the previous policy was issued by a different company, you’re still eligible.
3. Insist on Full Disclosure of Exceptions
Some title companies may try to rush you through the commitment review. Don’t let them. Every exception in Schedule B-2 should be explained. If an exception affects your ability to use or sell the property—such as a restrictive covenant limiting home additions—you may need to obtain a title endorsement or negotiate with the seller to resolve it before closing.
4. Verify the Title Company’s Licensing
Only work with companies licensed by the Texas Department of Insurance. You can verify a company’s status at https://www.tdi.texas.gov. Unlicensed providers may not be legally able to issue policies, and your protection could be void.
5. Keep All Documentation
Retain copies of your title commitment, policy, closing statement, and any correspondence regarding title issues. These documents may be needed if you ever sell the property or face a legal challenge to your ownership.
6. Consider Additional Endorsements
Standard title policies have limitations. In Fort Worth, consider adding endorsements for:
- ALTA 9 – Covers zoning compliance
- ALTA 17 – Protects against encroachments and boundary disputes
- ALTA 28 – Covers mineral rights and subsurface access
- ALTA 31 – Extends coverage to future improvements
These endorsements cost extra but provide critical protection in areas with complex land use histories or undeveloped lots.
7. Avoid Delaying the Title Process
Many buyers wait until the last week to order title insurance, which can lead to rushed searches and missed issues. Begin the process as soon as your contract is signed. A thorough title search takes time, and delays can jeopardize your closing date.
8. Understand the Difference Between Title Insurance and Homeowners Insurance
Homeowners insurance covers physical damage to your property. Title insurance covers legal ownership disputes. They are not interchangeable. You need both.
Tools and Resources
Successfully navigating title insurance in Fort Worth requires access to reliable tools and authoritative resources. Below are essential tools and websites to support your process.
1. Texas Department of Insurance (TDI) – Title Company Search
Use TDI’s licensed title company search tool to verify that your chosen provider is authorized to operate in Texas. This is your first line of defense against fraud or unlicensed intermediaries.
2. Tarrant County Clerk’s Office – Online Records
https://www.tarrantcounty.com/en/county-clerk/property-records
Access public property records, including deeds, liens, and easements, for free. You can search by owner name, property address, or parcel ID. Reviewing these records yourself can help you understand what your title company is finding and spot discrepancies early.
3. Texas Real Estate Commission (TREC) – Forms and Contracts
Download official TREC contracts and disclosure forms. Familiarize yourself with the language used in purchase agreements, especially clauses related to title and surveys.
4. Texas Land Title Association (TLTA)
TLTA is the leading professional organization for title insurers in Texas. Their website offers consumer guides, industry updates, and a directory of member companies known for high ethical standards.
5. Title Insurance Premium Calculator
https://www.tdi.texas.gov/insurance/title/titlepremiumcalculator.html
Use TDI’s official calculator to estimate your title insurance premium based on your purchase price. This helps you compare quotes and verify that you’re not being overcharged.
6. Fort Worth Public Library – Legal Research Resources
The Fort Worth Public Library offers free access to legal databases, including Texas statutes and real estate law references. You can research local ordinances affecting property use, especially if you’re buying in a historic district or zoning-restricted area.
7. Google Earth Pro – Historical Imagery
https://www.google.com/earth/versions/
Use Google Earth Pro’s historical imagery feature to view how your property and surrounding land have changed over time. This can help identify unrecorded encroachments or changes in access routes.
Real Examples
Real-world examples illustrate why title insurance isn’t optional—it’s essential. Below are three anonymized cases from Fort Worth properties where title insurance prevented significant financial loss.
Case 1: The Unpaid HOA Lien
A buyer in the Tanglewood neighborhood of Fort Worth purchased a home for $425,000. The seller claimed all HOA dues were current. However, the title search revealed a $7,200 lien for unpaid assessments from two years prior. Because the buyer had purchased an owner’s title policy, the title company paid the lien in full at closing. Without title insurance, the buyer would have been legally responsible for paying the debt after taking ownership.
Case 2: The Forged Deed
In the Near Southside district, a home was sold by a man claiming to be the sole heir of the previous owner. The title company discovered that the deed had been forged by a third party who had no legal right to sell the property. The true heirs, who had been unaware of the sale, filed a claim. The title insurer defended the buyer in court and paid the legal fees. The buyer retained ownership, and the fraudulent seller was prosecuted. Without title insurance, the buyer would have lost the home and their entire investment.
Case 3: The Unrecorded Easement
A buyer in the Historic Fairmount district purchased a home with a large backyard. After closing, a utility company showed up to install a new gas line across the rear of the property. The buyer had no knowledge of the easement. A review of the title commitment revealed a buried easement from the 1950s that had never been disclosed. The buyer’s title policy covered the cost of relocating the fence and landscaping, as well as the loss in property value due to the easement. The buyer had not requested an ALTA 17 endorsement, so coverage was limited—but still far better than nothing.
These examples underscore the importance of a thorough title search and comprehensive insurance coverage. In each case, the buyer was protected because they took the time to secure proper title insurance.
FAQs
Who pays for title insurance in Fort Worth?
In Fort Worth and most of North Texas, it’s customary for the seller to pay for the owner’s title insurance policy, while the buyer pays for the lender’s policy. However, this is negotiable and can be specified in the purchase contract. Always confirm who is responsible before signing.
Can I buy title insurance after closing?
No. Title insurance must be purchased at or before closing. Once you take ownership, any title defects that existed before your purchase are no longer insurable. You can only purchase a policy at the time of transaction.
How long does title insurance last?
An owner’s title insurance policy lasts as long as you or your heirs own the property. It’s a one-time premium with lifetime coverage. The lender’s policy lasts until the mortgage is paid off.
Is title insurance required in Texas?
While an owner’s policy is not legally required, lenders require a lender’s policy if you’re financing the purchase. Without it, you won’t qualify for a mortgage. An owner’s policy is highly recommended and considered standard practice in Fort Worth.
What if I find a title problem after closing?
If you discover a title defect after closing and you have an owner’s policy, contact your title insurer immediately. They are obligated to defend your ownership rights and cover legal costs, settlements, or losses related to covered claims.
Do I need title insurance for a cash purchase?
Yes. Even if you’re paying in cash, title insurance protects your investment. Without it, you’re exposed to all prior title defects. Many cash buyers skip this step and later regret it when a hidden claim arises.
Can I use the same title company as the seller?
Yes, but you are not required to. Texas law gives buyers the right to choose their own title company. Using the seller’s preferred company is fine, but make sure they are acting in your best interest and not just the seller’s.
What’s the difference between a title search and title insurance?
A title search is the investigation of public records to uncover existing claims or defects. Title insurance is the policy that protects you financially if a defect is found after you purchase the property. The search prevents problems; the insurance covers them if they slip through.
Do I need title insurance for a new construction home?
Yes. Even new homes can have title issues. The land may have had prior liens, or the builder may have failed to pay subcontractors, resulting in mechanic’s liens. Title insurance protects you from these hidden risks.
How do I know if my title policy is valid?
Check that the policy is issued by a TDI-licensed company, includes your name as the insured, lists the correct property description, and was issued on or before your closing date. If in doubt, contact the title company or TDI.
Conclusion
Getting title insurance in Fort Worth is not a bureaucratic formality—it’s a strategic safeguard that protects one of your most significant financial assets. From uncovering hidden liens to defending against fraudulent claims, title insurance provides peace of mind that no home inspection or real estate agent can offer. The process, while detailed, is straightforward when approached methodically: select a reputable title company, review every document, ask questions, and never skip the owner’s policy.
Fort Worth’s booming real estate market means more transactions, more complexity, and more opportunities for title defects to slip through. Buyers who treat title insurance as an afterthought are taking an unnecessary risk. Those who invest time and attention in this step are securing not just a home—but a legacy.
By following the steps outlined in this guide, understanding best practices, utilizing available tools, and learning from real cases, you ensure that your Fort Worth property remains truly yours—for decades to come. Don’t wait until something goes wrong. Secure your title insurance today, and own your home with confidence.
