Texas Title Insurance Calculator

by

Texas Title Insurance Premium Calculator

Estimated Basic Premium:

$0.00

*Rates based on the Texas Department of Insurance (TDI) R-1 Basic Manual. Actual costs may include endorsements or search fees.

function calculateTXTitle() { var val = document.getElementById("propertyValue").value; var resultArea = document.getElementById("resultArea"); var premiumOutput = document.getElementById("premiumOutput"); if (!val || val <= 0) { alert("Please enter a valid property purchase price."); return; } var price = parseFloat(val); var premium = 0; // TDI Rate Chart Calculations if (price <= 100000) { // Simplified lookup for under 100k based on standard table increments // At 100k, the rate is exactly 875 if (price <= 10000) premium = 247; else if (price = 100000) premium = 875; } else if (price > 100000 && price 1000000 && price 5000000 && price 15000000 && price <= 25000000) { // Rate: $61,701 plus $2.67 per $1,000 or fraction thereof over $15,000,000 var excess = price – 15000000; premium = 61701 + (Math.ceil(excess / 1000) * 2.67); } else { // Rate: $88,401 plus $1.60 per $1,000 or fraction thereof over $25,000,000 var excess = price – 25000000; premium = 88401 + (Math.ceil(excess / 1000) * 1.60); } premiumOutput.innerText = "$" + premium.toLocaleString(undefined, {minimumFractionDigits: 0, maximumFractionDigits: 0}); resultArea.style.display = "block"; }

Understanding Texas Title Insurance Rates

In the State of Texas, title insurance is unique compared to many other states. All title insurance companies must charge the exact same premium for the "Basic Manual" policy. These rates are mandated by the Texas Department of Insurance (TDI). Because the rates are set by the government, companies cannot compete on price, only on service and expertise.

How is the Texas Title Premium Calculated?

The premium is based on a sliding scale relative to the property's sales price or the loan amount. The calculator above uses the standard R-1 schedule, which follows these primary brackets:

  • Up to $100,000: A base rate that scales up to $875.
  • $100,001 to $1,000,000: $875 plus $5.54 per every $1,000 increase.
  • $1,000,001 to $5,000,000: $5,861 plus $4.56 per every $1,000 increase.
  • $5,000,001 to $15,000,000: $24,101 plus $3.76 per every $1,000 increase.

Who Pays for Title Insurance in Texas?

While everything in a real estate contract is negotiable, the common practice in Texas is for the seller to pay for the Owner's Title Policy, while the buyer typically pays for the Lender's Title Policy (if they are financing the home).

Real-World Example Calculation

If you are purchasing a home in Austin, TX for $450,000, the calculation works as follows:

  1. The first $100,000 costs $875.
  2. The remaining $350,000 is calculated at $5.54 per $1,000: 350 * 5.54 = $1,939.
  3. Total Basic Premium: $875 + $1,939 = $2,814.

Additional Costs to Consider

While the Basic Premium is the largest portion of title costs, you should also account for:

  • Endorsements: Specific add-ons for things like survey coverage or environmental liens (typically $20-$50 each).
  • Escrow Fees: The fee charged by the title company to handle the closing paperwork.
  • Tax Certificates: Fees to verify the status of property taxes.
  • Recording Fees: Fees paid to the county to record the new deed.

Leave a Comment