Washington Title Insurance Calculator

What is Title Insurance in Washington?

Title insurance is an important cost component within Closing Costs that always intrigues a first time home buyer. Title insurance in Washington protects buyers and lenders from financial liabilities that may arise due to a title defect or a hidden lien. 

Have a look at our Title Insurance explainer video to see how title insurance can protect your lender and your ownership in case of a title defect. 

There are two types of Washington title insurance policies: Lender’s Title Insurance Policy and Owner’s Title Insurance Policy.

Lenders in Washington often require borrowers to purchase a Washington Lender’s Title Insurance Policy which guarantees protection for Washington lenders against issues arising out of defects on the title of a Washington property. On the other hand, the Washington Owner's Title Insurance Policy protects the buyer against claims and liens. 

Title insurance policy premiums in Washington show up as an itemized list of a closing cost worksheet for a buyer and seller such as a Closing Disclosure, Loan Estimate, HUD-1, or an ALTA Settlement Statement. If you're looking to get a preview of what these costs look like, use this free Washington title insurance calculator.

How much does title insurance cost in Washington?

For a $500,000 property, you are going to pay a total of $1,248 for the owner’s policy and $796 for the lender’s policy. 

Here are some more use cases: 

• For a purchase price of a $300,000 property in Washington with a 20% down payment ($60,000), the cost of title insurance policy and lender's policy are $928 and $656 respectively. 
• For a purchase price of a $300,000 property in Washington bought with full cash, the cost of the title insurance owner's policy is $928. 
• For a purchase price of a $500,000 property in Washington with a 20% down payment ($100,000), the cost of the title insurance owner's policy and lender's policy are $1,248 and $796 respectively.
• For a purchase price of a $500,000 property in Washington bought with full cash, the cost of the title insurance owner's policy is $1,248. 
• For a purchase price of a $1,000,000 property in Washington with a 20% downpayment ($200,000), the cost of the title insurance owner's policy and lender's policy are $1,948 and $1,103 respectively. 
• For a purchase price of a $1,000,000 property in Washington bought with full cash, the cost of the title insurance owner's policy is $1,948.

How is Title Insurance Calculated in Washington?

Washington has multiple pricing slabs based on the type of policy. There’s the ALTA Policy that gives you standard coverage while the Eagle Policy gives you extended coverage and costs more than the ALTA Policy. Here we will consider the prices for the ALTA Policy. 

We have considered prices for King, Snohomish, Pierce, and Thurston Counties.

What is the Owner's Title policy in Washington?

The owner's policy is a legal document that shields the owners from unknown defects such as missing heirs, incorrect documentation, unjust court proceedings, and protects their ownership. The owner’s policy contributes to the majority of the costs that go into purchasing the title insurance. 

What is Lender’s Title policy in Washington?

The lender’s policy is often purchased along with the owner’s policy. It protects the lender from title defects such as a pending construction lien on the property, errors in the title, and other issues that may arise after the title has been transferred to the buyer. 

What is not covered in Title Insurance in Washington?

Title insurance may not cover the following:

• Damages due to natural calamities such as thunderstorms.
• Losses due to infestation
• Financial losses due to repair and maintenance of items
• Damage due to a fire

How long is the title policy valid in Washington?

The title policy remains valid till the time you remain the owner of the property. Only when you decide to sell, a new policy must be made in the name of the buyer. 

Who regulates Title Insurance in Washington?

The Office of the Insurance Commissioner regulates the title insurance landscape in Washington state. Companies are supposed to file rates and seek the commissioner’s approval on the prices.  

Who pays for Title Insurance in Washington?

Title insurance fees can be paid by either of the parties however it is mostly the seller that pays for the owner's title policy while the loan policy is paid by the buyer. 

Is Title insurance required in Washington?

The lender’s policy is often required by underwriters and banks while the owner’s title policy remains optional. As a rule of thumb, it is advisable to purchase both policies at the same time.  

Should you shop for title insurance in Washington?

You can definitely shop for title insurance in the state of Washington by approaching any reputable title company. However, if you are skeptical, you can ask your agent or lender to help you out with the process.  

Is there any discount on Title Insurance Policy in Washington?

Technically there is no discount on title insurance in Washington. But what you can do is go for simultaneous issuing of both Owner’s Policy and Lender’s Policy at the same time. This way you only pay a fixed amount for the Lender’s Policy.