Contracts

Which party to a Pennsylvania real estate transaction typically pays for the owner's title insurance policy?

AThe buyer always
BThe seller always
CIt is negotiable and custom varies by county in Pennsylvania✓ Correct
DPREC mandates that each party pays their own policy

Explanation

In Pennsylvania, the custom for who pays the owner's title insurance policy varies by county and is negotiable between the parties. In some eastern Pennsylvania counties, the seller customarily pays; in others, the buyer pays or it is split. Unlike the lender's policy (always paid by the buyer), owner's policy allocation is a negotiation point.

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