Updated November 2026. For buyers and sellers who want to know what a title company is, what it does, and what they pay it for.
A title company is the neutral party that confirms the seller really owns the home, clears liens, holds the money in escrow, runs the closing and issues title insurance. As of November 2026, Florida’s state-set owner’s premium on a $400,000 home is $2,075, and title companies earn from premiums plus settlement and search fees.
Closing in Florida, Texas, Michigan, Ohio, Illinois or Indiana? Beycome Title charges a flat settlement fee, from $99 in Florida when prepaid on beycome.com.
Jump to: 🏠 What it does · 💲 How it makes money · 🤝 Choosing one · 📍 Beycome Title · ❓ FAQ
Key takeaways
- A title company searches public records, clears liens, holds the money in escrow, closes the sale and records the deed.
- Owner’s title insurance protects the buyer; lender’s title insurance protects only the lender.
- Florida and Texas set title insurance rates by rule, so the premium is the same at any company; settlement fees differ.
- Beycome Title closes in Florida, Texas, Michigan, Ohio, Illinois and Indiana for a flat settlement fee, with Old Republic as underwriter.
Most people meet a title company for the first time after their offer is accepted. Here’s what it does, step by step, how it gets paid, and how to pick one.
What does a title company do? 7 steps from contract to deed
Think of it as the neutral middle of the sale. It doesn’t work for the buyer or the seller alone. Its job is to make sure the money and the ownership change hands cleanly.
- Opens the file. It gets the signed contract and the earnest money deposit, and holds the money in escrow.
- Searches the title. It checks deeds, mortgages, liens, judgments and unpaid taxes tied to the home. More on the title examination.
- Issues a title commitment. This lists what must be fixed before closing and what the policy won’t cover.
- Clears problems. It orders mortgage payoffs and gets releases for old liens.
- Prepares the closing papers. That includes the settlement statement, which shows every dollar in and out.
- Runs the closing. Everyone signs, the lender funds, and the seller gets paid.
- Records the deed and issues the policies. The new owner’s deed goes on public record.
In some states attorneys do much of this work. In Florida and Texas, title companies handle most home closings. For the escrow side in more detail, read our guide on how escrow works in real estate.
What’s the difference between owner’s and lender’s title insurance?
The Consumer Financial Protection Bureau says owner’s title insurance protects you if someone later claims a right to the home from before you bought it, such as a past owner’s unpaid taxes or an unpaid contractor. Lender’s title insurance protects only the lender. Our FAQ covers how long each title policy lasts.
| Policy | Protects | Required? | Paid |
|---|---|---|---|
| Owner’s policy | The buyer, for as long as they own the home | Optional, but common | Once, at closing |
| Lender’s (loan) policy | The lender, until the loan is paid off | Usually required with a mortgage | Once, at closing |
Who pays which policy depends on the contract and local custom. More in our guide to title insurance.
How does a title company make money?
Three main ways: a share of the title insurance premium, settlement (closing) fees, and smaller charges like search, courier and recording service fees.
The premium split
Most title companies are agents for a larger insurer, called the underwriter. The agent keeps part of each premium and sends the rest to the insurer. In Florida, the rate rule sets a minimum insurer retention of 30% on most owner’s coverage, per Fla. Admin. Code 69O-186.003.
| Florida owner’s policy, $400,000 home | Amount |
|---|---|
| First $100,000 at $5.75 per $1,000 | $575 |
| Next $300,000 at $5.00 per $1,000 | $1,500 |
| Total premium | $2,075 |
| Minimum kept by the insurer (30%) | $622.50 |
Rates are set, fees aren’t
The Texas Department of Insurance says all Texas companies charge the same rates for title insurance, but closing fees can differ. Florida also sets premiums by rule. So when you compare title companies in these states, compare the settlement fee and add-on charges, not the premium. We list published settlement fees in every state.
How do you find and choose a title company?
Ask for a written quote from two or three companies, with every fee listed. For the full list of checks, see how to pick a title company. Check that the company is licensed in your state and works with a known underwriter. Ask how fast they deliver the title commitment, and who your contact will be.
Who picks? The contract decides. Federal law limits pressure: under 12 U.S.C. 2608, a seller can’t require a buyer with a federally related mortgage to buy title insurance from a particular company. And 12 U.S.C. 2607 bans kickbacks for referring settlement business. Our guide on who picks the title company covers state customs.
Can you close without a realtor?
Yes. A title company can close a for sale by owner deal just as well. Send it the signed contract and the deposit, and it takes it from there. Many FSBO sellers also ask the title company to explain each line of the settlement statement, which it does as part of the closing. Our Florida FSBO contract guide shows what that contract needs.
What is Beycome Title?
Beycome Title is Beycome’s flat fee title company. It closes in Florida, Texas, Michigan, Ohio, Illinois and Indiana. Title insurance is charged at the state-set or filed rate and underwritten by Old Republic National Title Insurance Company.
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A flat fee instead of a percentage, and $0 to Beycome at closing. You stay in control of your sale.
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Get up to 2% back at closing
On homes listed by other agents, Beycome credits you up to 2% of the price at closing (1% kept, $1,499 minimum; not on FSBO homes or homes listed by Beycome sellers).
Buy a home →| State | Beycome Title settlement fee |
|---|---|
| Florida | $99 when prepaid on beycome.com |
| Texas | $299 settlement fee per side (no prepay in Texas) |
| Michigan | $199 prepaid (instead of $245) |
| Ohio | $299 prepaid (instead of $345) |
| Illinois | $599 prepaid (instead of $995) |
| Indiana | $199 prepaid (instead of $245) |
It closes Beycome listings, FSBO sales and agent-assisted deals. Sellers can pair it with a flat fee MLS listing from $99, and buyers with the Beycome buyer program, which has no upfront fee and credits part of the buyer-agent commission back at closing. Selling in Texas? See what you’d pay overall in our page on selling a Texas home without a realtor, and our guide to who pays closing costs for the usual split.
22,000+ homeowners have used Beycome, saving over $225 million (Beycome internal data, October 2026). Most closed with agents, lenders and other title companies on the other side; Beycome Title works with all of them.
When does the title company step in, and how long does it take?
The title company starts as soon as the contract is signed. Here’s a typical order of events for a home bought with a loan. Cash deals often move faster.
| Stage | What the title company does |
|---|---|
| Contract signed | Opens the file and receives the earnest money. |
| First days | Orders the title search, survey if needed, and payoff letters. |
| Commitment issued | Sends the title commitment listing what must be cleared. |
| Before closing | Clears liens, balances the settlement statement with the lender. |
| Closing day | Collects signatures, receives the loan funds, pays the seller. |
| After closing | Records the deed and sends the final policies. |
In Texas, the paper copy of the owner’s policy usually arrives about 30 days after closing, per the Texas Department of Insurance. Keep it with your other home records.
Two habits protect you. Call the title company at a number you already know before you wire any money, since fake wiring emails are common. And read the settlement statement a day before closing, so questions don’t hold up signing.
What happens if the title search finds a problem?
Most issues get fixed before closing. An old mortgage that was paid but never released needs a release from the lender. A contractor’s lien needs a payoff or a bond. A missing heir may need to sign a deed. The title company tells you what’s needed and by when. If something can’t be cleared, the contract usually gives the buyer the right to walk away.
Frequently asked questions
What is a title company in simple terms?
A neutral company that checks ownership, holds the money, runs the closing, records the deed and issues title insurance.
What does title company mean?
A title company is a business licensed to search property records, insure title and act as the neutral closing and escrow agent in a home sale.
What does Beycome Title cost?
A flat settlement fee: $99 prepaid in Florida, $299 in Texas, and prepaid pricing of $199 in Michigan, $299 in Ohio, $599 in Illinois and $199 in Indiana. Title insurance is extra, at the state rate.
How does a title company make money?
From its share of title insurance premiums, plus settlement, search and recording service fees. In Florida, the insurer keeps at least 30% of most owner’s premiums.
Is Beycome Title a real title company?
Yes. Beycome Title LLC (NPN 22311249) closes in Florida, Texas, Michigan, Ohio, Illinois and Indiana, with policies underwritten by Old Republic.
How do I find a title company?
Get two or three written quotes, compare settlement and add-on fees, and check the license and underwriter.
Does the buyer or seller pick the title company?
The contract decides, often following local custom. A seller can’t require a buyer with a federally related loan to use a particular title insurer.
Is owner’s title insurance required?
Usually not, but it’s common. Lenders typically require a lender’s policy, which protects only them.
Prices and rates as of November 2026 and subject to change. Beycome Title operates in Florida, Texas, Michigan, Ohio, Illinois and Indiana; prepaid prices apply when the settlement fee is paid upfront on beycome.com (not available in Texas). Title insurance premiums follow state-set rates; other closing costs, taxes and recording fees apply. Premium example uses Florida’s basic owner’s rate and excludes endorsements. “$0 at closing” for a Beycome listing means no Beycome listing fee at closing. Buyer credit: Beycome keeps 1% of the price (minimum $1,499); the rest of any buyer-agent commission is credited at closing, subject to lender approval. General information, not legal advice.
Sources
Disclosure & Disclaimer
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