Buying a home in DuBois should feel exciting, not stressful. Still, surprises can pop up when past owners leave behind liens or errors in the records. Title insurance exists to protect you from those issues and to cover legal defense for covered claims. In this guide, you will learn what title insurance covers, how much it typically costs in DuBois, who usually pays in Pennsylvania, and the practical steps to take before you close. Let’s dive in.
What title insurance covers
Title insurance protects you against losses from defects in ownership that happened before you bought the home but are discovered later. It is a one-time premium paid at closing. Unlike homeowners insurance, it looks backward at existing issues rather than future events.
Common covered claims include:
- Forged or fraudulent deeds and signatures
- Errors in public records or incorrect recording
- Unknown heirs asserting an interest in the property
- Previously undisclosed liens, such as contractor or tax liens recorded before closing
- Mistakes in legal descriptions in many cases, depending on the policy
If a covered claim comes up, the policy typically pays for legal defense and related costs up to the policy amount.
Common exclusions
Title insurance does not cover everything. It generally excludes government zoning and building code issues, problems that happen after the policy date, and environmental contamination. It also excludes matters a precise survey would reveal unless you add a survey endorsement.
Standard exceptions often include taxes not yet due, rights of parties in possession, and recorded easements. Known defects you are aware of and do not disclose are also excluded. Ask your title company to explain any exceptions that appear in your title commitment.
Lender vs owner policies
You will hear about two different policies at closing:
- Lender’s title insurance. Protects the lender’s mortgage interest up to the loan amount. Most lenders require it as a condition of the mortgage. You generally pay this premium based on your loan amount.
- Owner’s title insurance. Optional but strongly recommended. It protects your equity and ownership rights up to the policy amount, which is usually the purchase price. This is a one-time premium paid at closing.
Both policies are typically issued at the same time. You can often get a discount when the lender and owner policies are issued together, called a simultaneous issue discount.
Title insurance costs
Premiums are one-time charges paid at closing. The owner’s policy premium is generally based on the purchase price, and the lender’s policy is based on the loan amount. Endorsements and extended policy options add cost.
For budgeting, a broad national range for an owner’s policy is about 0.25% to 1.0% of the purchase price, and a lender’s policy often runs about 0.15% to 0.5% of the loan amount. For example:
- On a $150,000 purchase price, an owner policy might be roughly $375 to $1,500, while a lender policy on a $120,000 loan might be about $180 to $600.
- On a $250,000 purchase price, an owner policy might be roughly $625 to $2,500, while a lender policy on a $200,000 loan might be about $300 to $1,000.
These figures are illustrative for planning, not quotes. Exact premiums in Pennsylvania depend on insurer rate filings, endorsements, and whether both policies are issued together. Ask a Pennsylvania-licensed title company for a written quote based on your purchase price, loan amount, and any endorsements you want.
Who pays and timing
After your offer is accepted and the contract is signed, the title company or attorney begins the title search. You should receive a title commitment before closing that lists exceptions and any conditions that must be met. Policies are issued at or shortly after closing once the deed is recorded and premiums are paid.
Who pays for the owner’s policy is negotiated in the contract and can vary by area. In many Pennsylvania transactions, it is common for the seller to pay for the owner’s policy, but this is not universal. The borrower typically pays for the lender’s policy. Ask your agent what is typical in DuBois and make sure your contract clearly states who pays for which policy.
DuBois title risks
Older properties and small-city markets like DuBois can see certain title issues more often. Being aware of them helps you ask the right questions.
- Unreleased or improperly recorded liens, including contractor liens
- Unpaid municipal, county, or school district taxes or utility/sewer liens
- Easements and rights-of-way that might affect future plans
- Survey discrepancies or boundary disputes, especially with older legal descriptions
- Unknown heirs or informal transfers from older estate administrations
- Coal, mineral, and mining-related issues in parts of Clearfield County, including severed mineral rights or subsidence risk
- Party-in-possession claims at closing
- Prior foreclosure history that needs careful review
Ask your title company to search the Clearfield County Recorder of Deeds, Assessment and Tax offices, and the Prothonotary or Court Clerk for judgments. If you are buying in an area with mining history, request information on recorded mineral reservations and ask about mining-related records through state resources.
Endorsements to consider
Endorsements add specific protections to your policy for an extra fee. Availability and pricing vary, so request a written quote.
- Survey endorsement to cover certain boundary or encroachment issues when a current survey exists
- Access or right-of-way endorsements to confirm legal access
- Mechanic’s lien coverage if recent work may not have been paid in full
- Enhanced or extended owner policies that expand coverage beyond the standard policy in certain situations
Discuss which endorsements fit your property, especially if you plan improvements, care about boundary clarity, or need certainty about access.
Review before closing
Your title commitment is your roadmap to a clean closing. Review these items with your agent, title company, and if needed, an attorney:
- Exceptions and encumbrances, including liens, easements, and restrictions
- Payoff statements for existing mortgages or liens that must be cleared
- Lender requirements and escrow instructions tied to title and closing
- Conditions the title company requires, such as recorded releases or affidavits
If major problems appear, you can negotiate cures with the seller, request adjustments in the contract, or consult an attorney before moving forward.
Offer-stage checklist
Use this quick list when you prepare an offer or once you are under contract in DuBois:
- Ask your agent whether seller-paid owner’s coverage is common locally and put payment terms in the contract.
- Confirm the settlement agent or title company and request a preliminary quote for both owner and lender policies, including any simultaneous-issue discount.
- Budget for endorsements and decide if you want an enhanced owner policy.
- Order a survey if boundaries or structures matter for your plans, or request a survey endorsement if a current survey exists.
- Request recent deeds, any prior title policies, surveys, and municipal lien letters if available.
- Ask about recorded mineral reservations and any mining-related considerations for the parcel.
A little preparation now prevents last-minute surprises and keeps your closing on track.
If you want a local guide through each step, our team is here to help you budget, negotiate who pays for coverage, and coordinate with a trusted title company so you can close with confidence. Reach out to Wanda Ryen for clear, local support.
FAQs
Do Pennsylvania buyers need owner’s title insurance?
- It is optional but strongly recommended because it protects your equity and ownership rights, while the required lender policy only protects the lender.
How much does title insurance cost in DuBois?
- It is a one-time premium; owner policies often range about 0.25% to 1.0% of the purchase price and lender policies about 0.15% to 0.5% of the loan amount, with exact quotes from a Pennsylvania-licensed title company.
Who usually pays for owner’s coverage in DuBois?
- It is negotiated; in many Pennsylvania deals the seller pays the owner’s premium, but customs vary, so confirm in your contract, while the borrower typically pays the lender’s policy.
When does the title search happen in Clearfield County?
- The title search begins after contract execution, a title commitment is issued before closing, and policies are issued at or shortly after closing once documents record and premiums are paid.
What local risks should DuBois buyers ask about?
- Ask about unpaid taxes or municipal liens, easements, survey issues, unknown heirs, and any coal or mineral reservations or mining-related concerns that could affect the property.
Which endorsements are worth considering for DuBois homes?
- Consider a survey endorsement, access or right-of-way coverage, mechanic’s lien protection, and an enhanced owner policy if you want broader protection for certain property-specific risks.
