Insurance Closing Costs

Homeowner's Insurance

This insurance covers replacement costs for damages caused by fire, wind or other disaster that might affect the value of the property. Typically, the insurance also includes personal liability and theft coverage.

Flood Insurance

Additional hazard insurance coverage required for homes located in a designated flood hazard zone as established by the Federal Emergency Management Agency (FEMA). Checking whether or not your property resides in a flood zone is part of the loan application process.  If your property is in a flood zone and flood insurance is required, we will let you know.

Private Mortgage Insurance (PMI)

Insurance required for conventional mortgage loans when the borrower's down payment on the house is less than 20 percent of the loan value.

Title Insurance

This policy protects both the buyer and lender by insuring a clear chain of title. (In other words, it insures that that the person who sells the house has the legal right to do so.)