Title Company Provides Service to Accurately Provide Fees for GFE

January 26, 2010

TitleVest, a Manhattan-based provider of title insurance and related real estate services, announced the launch of a free service that helps lenders comply with new stringent disclosure requirements imposed by recent revisions to the Truth in Lending Act or "Regulation Z."

The new regulations stipulate that, with few exceptions, the fees quoted by mortgage lenders in their Good Faith Estimates ("GFE") may not increase at the time of closing.

While some of the GFE-disclosed fees are charged by the lender itself, many are third party fees, which lenders are ill-equipped to calculate and disclose accurately. Under-disclosing puts the lender at risk for any charges that exceed the amount it discloses on its GFE. However, over-disclosing these fees can backfire if it causes an otherwise qualified mortgage applicant to not proceed with the transaction or to switch to another lender whose GFE disclosures are lower.

With TitleVest's complimentary GFE Closing Cost Guarantee, lenders complete a web-based form with the transaction details and receive an itemized breakdown of title insurance and related settlement closing costs in a format that allows them to plug these numbers into their GFE. TitleVest said it guarantees the accuracy of these fees.

On a simple refinance of a $500,000 mortgage in New York, the title insurance and related closing costs can vary by more than $10,000 depending upon a multitude of factors. According to Bill Baron, TitleVest's president, "It's in the best interest of both lenders and borrowers to obtain a Good Faith Estimate that is 100 percent accurate. With our new free service, there is no excuse for lenders to over- or under-disclose any of the title insurance and related settlement fees on their GFEs."


Contact ALTA at 202-296-3671 or communications@alta.org.

North American Title Insurance Company (NATIC) is a seasoned title insurance underwriter, helping title agents to achieve their individual business goals for more than 50 years. Today, the company conducts real estate settlement services in 39 states and the District of Columbia through a network of experienced, independent agents. SoftPro is the nation's leading provider of real estate closing and title insurance software. With more than 14,000 customer sites and over 60,000 users nationwide, this award-winning software offers a suite of products designed to increase your volume and revenue by reducing the time it takes to do closings. SoftPro has been recognized by the American Business Awards every year since 2007 - winning awards for Superior Customer Service, Support and Product Development.