Wednesday, March 31, 2010

query: is the title company the agent of the lender

Good question.  If by title company you mean a title agency, the title agency is the agent for the title company/underwriter.

Title insurance companies/underwriters and their title agents have a fiduciary duty to the mortgage lender and so they do or should be keeping their eyes open for fraud and error.  If the mortgage lender has requested coverage under a closing services/protection letter then the title company/underwriter and title agents have an obligation to follow the lender's written closing instructions.

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