Owner's vs. Lender's Title Insurance

There are two title policies in most purchases, and they protect different parties. Knowing the difference helps you understand what you're paying for at closing.

Lender's Policy

If you're financing, your lender requires this policy to protect their investment in the loan. It covers the lender up to the loan amount and shrinks as you pay down the balance.

Owner's Policy

This protects you, the buyer, up to the purchase price. It defends your ownership and equity against title claims for as long as you own the home.

Why You Want Both

The lender's policy does nothing to protect your equity. Only an owner's policy shields the money you put into the home, which is why it's strongly recommended.

Who Pays

In San Diego, custom varies, but often the seller pays for the owner's policy and the buyer pays for the lender's. It's negotiable in your contract.

Not Sure What You Need?

Reach out and I'll explain your title options so you're fully protected without paying for coverage you don't need.