Federal RESPA Statute Gives Buyer Right To Choose The Title Company

Chapter 27 Real Estate Settlement Procedures Sec. 2608. Title Companies; liability of seller

  1. No seller of property that will be purchased with the assistance of a federally related mortgage loan shall require directly or indirectly, as a condition to selling the property, that title insurance covering the property be purchased by the buyer from a particular title company.
  2. Any seller who violates the provision of subsection (a) of this section shall be liable to the buyer in an amount equal to three times all charges made for such title insurance.

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