Escrow & Title
In a Texas title insurance transaction, who typically pays for the owner's title insurance policy?
AThe buyer always pays in Texas
BThe seller customarily pays for the owner's policy in most Texas markets✓ Correct
CThe lender pays for all title insurance
DPayment is required by state law from the buyer
Explanation
By custom in most Texas markets, the seller pays for the owner's title insurance policy (Owner's Policy of Title Insurance). This is a negotiable item, but Texas custom has the seller providing a policy as evidence of clear title. The buyer (or their lender) pays for the lender's (mortgagee's) title insurance policy.
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