Interest Rates and Title Lock Insurance

In two weeks, we expect to see the Federal Reserve to lower interest rates, and hope that move spurs real estate activity. The key rate has been at a 23-year high since July 2023. While sales numbers and home prices have remained strong, the high rates have kept some entry-level buyers from entering the market.

In other news, the Federal Trade Commission (FTC) has issued an advisory about title lock insurance, which is one of the most frequent questions I get over the phone. As advertised on the radio, title lock insurance says it will prevent thieves from stealing the title to your home. The FTC has confirmed what I’ve been telling people since these ads began appearing a few years ago: It’s just a ploy to scare you.

From the FTC: “Title lock insurance” is not title insurance. It’s not insurance at all. It’s a service that claims to monitor your deed to protect you against title fraud. You’d find out AFTER your title got transferred to someone else without your authorization. So much for the lock. Title fraud is identity theft: someone pretends to be you and transfers your deed to someone else. Title lock insurance (again: not a lock, not insurance) wouldn’t stop that.

What should you do instead? Sign up for the free service offered by the Clark County Auditor’s office that will notify you if a document is recorded that contains your name or parcel number of your property: https://e-docs.clark.wa.gov/LandmarkWeb/FraudAlert. You can also check your credit report for free through https://www.annualcreditreport.com/index.action.

Identity theft and wire fraud are huge issues in the title insurance and escrow world. If you have concerns about these issues, or any questions about real estate, give us a call. We’re happy to help; that’s what has earned us the loyalty of the best lenders and Realtors in Clark County. Don’t be offended if we ask questions that help confirm your identity. Call us direct if you receive anything suspicious like a change in where you are to wire funds!

Though impartial, we see our role as support for all parties in the deal (buyer, seller, or refinance borrower), and their representatives. We help get the transaction closed efficiently and on-time, helping to solve problems as they arise. We’re part of the team instead of saying “come back when you’ve got it fixed.” The hard transactions are where we’ve earned the loyalty of the most knowledgeable, repeat customers.

Please let us assist you in development, buying, selling, or refinancing real estate. Happy September!

From your friends at Clark County Title,
Scott