Closing & Title
Title Insurance, Wire Fraud and Closing Funds
What lender's and owner's title insurance actually cover, what a title search finds, and how to move closing funds without becoming a wire fraud victim.
Updated 2026-08-21| Applies to: Buyers and refinancing homeowners preparing to fund a closing.
The short answer
Lender's title insurance protects the lender's lien and is required. Owner's title insurance is optional but protects your equity against ownership claims, unknown liens and recording errors. Always confirm wiring instructions by phone using a number you already have, because emailed changes are the most common fraud.
What the title search finds
- Who legally owns the property and how it was transferred
- Mortgages, judgment liens, tax liens and mechanics liens
- Easements, boundary issues and restrictions
- Probate, divorce or heirship issues that affect the right to sell
Two policies, two purposes
| Policy | Protects | Required |
|---|---|---|
| Lender's policy | The lender's lien position for the loan balance | Yes |
| Owner's policy | Your ownership and equity, for as long as you own it | Optional |
An owner's policy is a one time premium at closing and is usually modest compared to what it covers. Most buyers should at least price it before declining.
Moving money safely
- 1.Call the title company using a number from your contract or an earlier document, never a number in a wire email
- 2.Confirm the account name, routing and account numbers verbally
- 3.Send the wire, then call to confirm receipt
- 4.Be suspicious of any last minute change in instructions or urgency
Title and settlement practices vary by county. Your title company confirms the requirements for your closing.
Frequently Asked Questions
People also ask
Are closing costs the same for every loan program?
No. Some programs have specific limits on certain fees or allow different levels of seller contribution, so costs can vary by program even for the same purchase price.
Read: How Much Will My Closing Costs Be?How long does closing take?
The signing appointment is commonly 30 to 60 minutes. Refinances can be shorter.
Read: What to Expect on Closing DayHow long does title work take?
A routine search and commitment often comes back within days, but clearing an issue can take considerably longer.
Read: Title Issues That Delay Closing and How They Get FixedHow long after clear to close do you close?
Commonly two to five business days, largely driven by the three business day Closing Disclosure rule and scheduling.
Read: What Does Clear to Close Mean?Do weekends count as business days?
Saturdays generally count for this rule; Sundays and federal holidays generally do not.
Read: The Closing Disclosure and the Three Day RuleTerms used in this guide
- Title
- Legal ownership of real property, documented through the public record.
- Title Insurance
- A policy protecting against losses from defects in title, such as unknown liens or recording errors. Lenders require a lender's policy; an owner's policy protects you.
- Title Search
- A review of public records to confirm ownership and identify liens, easements or judgments that must be resolved before closing.
- Deed
- The recorded document that transfers ownership of real property from one party to another.
- Closing
- The meeting or process where documents are signed, funds are disbursed and ownership transfers.
Written by
Manny Oloyede, Mortgage Broker
NMLS #1824463 | Ultimate Mortgage Brokers LLC NMLS #2619461 | Licensed in OH | KY | NC | PA | SC | TN | TX
I have worked in mortgage lending since 2018 out of the Akron / Cuyahoga Falls Branch, helping buyers, homeowners and investors across Northeast Ohio and every state where I am licensed. These guides reflect the questions I answer most often, written the way I would explain them on a call.
Keep reading
Title Issues That Delay Closing and How They Get Fixed
The title problems that most often push a closing date: liens, judgments, estate issues, boundary disputes and recording errors.
Closing & TitleWhat to Expect on Closing Day
A step by step look at closing day: the final walkthrough, funds transfer, documents you sign, and when you actually get the keys.
Closing & TitleThe Closing Disclosure and the Three Day Rule
What the Closing Disclosure shows, how it compares to your Loan Estimate, and which changes restart the three business day waiting period.
Mortgage CostsHow Much Will My Closing Costs Be?
Understand the main categories that make up mortgage closing costs, including lender fees, title, taxes, insurance, escrows, and credits.
Questions about your own numbers?
Send over your goal, income type and timeline and you'll get a straight answer on what is realistic.