According to HousingWire, First American Title has expanded a no-cost title monitoring service that was previously available only to customers closing directly through the company. Now, homeowners who work with First American's network of independent title agents can access this same protection at no additional charge, as long as they have an owner's policy underwritten by First American.
The monitoring service works by tracking important documents like deeds, liens, and property listings that could affect a homeowner's ownership stake. The company is positioning this as a response to growing real estate fraud concerns. HousingWire reported that the American Land Title Association has seen seller impersonation fraud reports more than double over the past two years, which underscores why title agents are looking for ways to protect their clients after the sale closes.
There are some parameters to understand about eligibility. The service is available in all states except Vermont, though some counties may have restrictions elsewhere. The property needs to be residential or new construction with a valid street address, and even vacant land can qualify if it has an address. However, loan policies and lender's policies don't qualify, and commercial properties are excluded from the program.
For homeowners who want additional protections beyond this basic monitoring, First American mentioned that clients can elect an Eagle Policy or an ALTA 49 endorsement at closing if available. Interestingly, homeowners can also add an ALTA 49.1 endorsement to an existing policy after closing, depending on availability and underwriting approval. This gives people some options if they decide they want extra layers of coverage down the road.
What I am seeing locally in the Bay Area and East Bay is that homeowners are increasingly concerned about fraud and identity theft issues related to their properties. This kind of tool from a major underwriter like First American could help give our clients peace of mind, especially in a market where sophisticated criminals are targeting real estate transactions. For my agent colleagues, it's another way to add value to the service you're already providing without hitting your clients with additional costs at closing.
