Sell With a Binder to Insure a Sale
The buyer of a San Diego North County home who anticipates reselling it within 2-3 years can save a significant amount in title charges by purchasing a binder from California Title Company. A binder is a temporary contract in which California Title Company agrees to issue a specified policy within a certain period of time. The binder must be requested before the San Diego North County home being purchased closes escrow. The fee for the binder is 10 % of the basic rate. This would be in addition to the applicable fee for an Owner’s policy which is usually paid by the seller. The use of a binder in your transaction can result in a significant savings when the North County property is resold.
CalTitle Binder Example
- $350,000 Initial Sales Price
- San Diego buyer plans to sell within two yeare for $450,000
In this example the basic rate is $1,079.00. The CalTitle binder fee is an additional $108.00 (10%). The buyer sells the North County property two years later for $450,000. The basic rate for a full California Title Company policy at that price would be $1,248.00. The San Diego buyer now pays the difference between the two basic rates, i.e. $1,248-$1,079=$169.
Three (3) Year Binder
Prior to the expiration of the two year period, a binder may be extended for a third year for an additional 10% of the basic fee. This would still offer considerable savings.
California Title Company is part of Gary Harmon’s Winning Team. For title information, contact Gary Harmon, your North County Realtor, and he will have an experienced team member give you a call.
To get more information about San Diego North County real estate, including Carlsbad homes, Oceanside homes for sale, Encinitas homes, Vista, San Marcos, and Escondido real estate, contact Gary Harmon.
