When you’re making the biggest investment of your life, it’s a good idea to protect both you and the property you’re buying.
 
Buying real estate isn’t always a transparent transaction, as much as all parties concerned are committed to that end.

That’s why the one-time purchase of title insurance is important. Lenders require the buyer to pay for their title insurance coverage, so that should tell you how important it is.
 
But lenders don’t require buyers to buy their own coverage. That decision is squarely on your shoulders.

Title insurance protects you, the buyer, against any problems with the title or defects when the property is transferred to your name.
 
That means it protects you from deed forgery, a line of credit on your property that the previous seller never closed out but decided to use, unpaid contractor liens, taxes, and much more.

Although Lilly Title & Settlement will do a thorough title search to make sure the title is “clean,” we cannot find what isn’t recorded, such as fraudulent activity, mistakes in descriptions, adverse possession, etc.

That’s why purchasing title insurance is so important. As thorough as a reputable title company is in its title search, it can’t find fraudulent activity!
 
Just like house insurance, you hope you never have to use it. But when you make the one time title insurance purchase, it’s there if you need it.
 
What’s equally important to buying title insurance is the company you work with. Ask these questions to make sure you choose wisely.

“Are title insurance prices regulated?”
 
In many states, including Virginia, title insurance prices are regulated. That means there won’t be much of a difference in prices. As a savvy consumer, you want to look at two other factors instead:

• The quality of the insurance
• The quality of the title search

While title insurance fees may be regulated, ancillary expenses such as courier and wire transfer fees can add up.

So ask about the complete transaction price, not just the cost to buy the title insurance.
 
Secondly, make sure the title company or the attorney you’re working with will do a thorough search.

And, make sure the underwriter has a good reputation. You want to be sure the company will still be around in 10-15 years, in case there is a problem.

To verify that the underwriter of your policy is sound, check its financial solvency ratings with companies such as Demotech Inc, Fitch Ratings, or A.M. Best Co.
 
Ask your lender or your state insurance department if you live in a regulated or cost-regulated area. Costs for the latter can be 10% or 20% more.

“How much coverage do I need?”
 
Typical title insurance policies cover fraud, forgery, undisclosed heir and spousal claims. Additional coverage would be more. For example, if you’re buying a home newly constructed in a subdivision, additional insurance to cover a restriction endorsement would be more. 
 
This policy would protect you if the construction of your home was found to violate the restrictions of your subdivision.
 
In another instance, your lender might require more title insurance. If you are financing your home with an adjustable rate mortgage (ARM), the endorsement will guarantee that the lender r​eceives repayment first before the home goes into foreclosure.

“Who usually pays for title insurance?”
 
There is title insurance coverage for both the buyer and the lender. If you’re buying both from the same company, sometimes there is a significant discount. Check with your title insurance company for their policies in this matter.
 
“Is the seller pushing a particular title company?”
 
If you’re paying for your title insurance, you have the right to choose the company you work with. But if the seller is pushing for the title company he or she used when they bought the property, beware.
 
Using the same company could yield the same results. Often, searchers aren’t using actual records but the extracts or summaries of those records.

Having a different company perform the search could unearth problems, which would allow you to fix those problems before you buy.
 
For quality title insurance and settlement services, talk to Lilly Title & Settlement. We serve Staunton, Waynesboro, and Augusta County. Learn more here: www.lillytitle.com.
 
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​Think Jesse James stole a mountain of money? It’s nothing compared to what cyber criminals steal with real estate transactions.
 
A lucrative, nefarious business that shows no sign of slowing down, real estate wire fraud scams are increasing every year.

​In 2017, the FBI reportedly received 301,580 complaints about real estate wire fraud with losses exceeding $1.4 billion dollars.
 
Yes, that’s billions with a “b.” There were more than 9,600 victims who lost over $56 million in broken dreams.
 
Compare that number to more traditional thefts like bank robberies. A thief is limited by what can be carried. With cyber crooks, there’s no limit on how much cash they can steal. But how does it happen? And what can you do to protect yourself?
 
Here’s a look.

​Even though, worldwide, businesses spent $93 billion fighting cybercrime in 2018, humans continue to be the weakest link.
 
Any party involved in a real estate transaction is a target for hackers. That includes the real estate agent, the buyer, the seller, the title company, closing attorney, and the financial lending institution.
 
And it all starts with a hacked email. A fraudster hacks into the lender or title company’s server searching for upcoming real estate closings.
 
The scammer then assumes the identity of the real estate or title company, or the financial institution handling the real estate sale.
 
The business emails you receive look authentic but if you look closely, you’ll usually see a few letters missing in the email address. 

The fraudsters will claim that the wiring instructions have been changed, and that it’s urgent for you to transfer funds immediately. To delay, they claim, will hold up the closing.
 
The fraudulent email is to provide you with new instructions for the wire transfer. That transfer, of course, is to the scammer’s account.

When you’re buying or selling your home, you’re eager to get the process underway and settled. Scammers know that, and they use that to their benefit.
 
What’s more, because email is commonly used to communicate during a legal transaction, it makes it that much easier to scam people.
 
That means that all parties have to be hypervigilant so that the closing goes smoothly.
 
At Lilly Title & Settlement, here’s what we do to guard against wire fraud:
 

• We establish a phone procedure for calling us using a confirmed phone number. This verifies the legitimacy of the wire instructions received by fax or email.

 

• We use encrypted emails with our wire transfer instructions.

 

• Then we verify by email that the wire transfer instructions were received. Additionally, we verify the information and instructions prior to sending funds on your behalf.

For the buyer and seller, here’s what we recommend:
 

• Look for red flags that are usually associated with fraudulent emails. For example, stating the matter is urgent, misspellings, and emails sent after business hours.

 

• Be suspicious of any email that states a change in payment type. For example, from a certified check to wire transfer. Or a last-minute change in account numbers.

 

• Know your closing process beforehand. We’ll talk with you prior to settlement so that you know exactly what to expect.

 

• Talk with your lending institution about valid payment methods. Discuss with your lender about how the money is to be wired.

 

• Confirm everything! Ask your lending institution to confirm the account number as well as the name on the account before proceeding with the wire transfer. Don’t follow emails with instructions on wiring money. You might think it’s legitimate but it’s best to contact a representative directly to be sure.

 

• Only use the phone numbers you trust. Scammers will fake phone numbers. Don’t fall for it!

 

• Don’t email your financial information—EVER! It’s just not safe. For the safety of your money, stick with phone calls or in-person meetings to share important information.

 

• If you receive an email about last minute changes to wiring instructions, ignore it! Do NOT call the number in the email. 

 

• Watch out for phone calls! It’s difficult to tell whether a phone call is legitimate or scammy. If anyone asks you to confirm your identity, hang up.

 

• If you’re concerned you may have been the victim of wire fraud, call the lending institution immediately. Get them to issue a recall notice on the wire transfer. Then, report the crime to ic3.gov. Call your regional FBI office and local police.

 
Buying and selling a home is an exciting time. Don’t let someone else’s greed ruin your dream of homeownership.
 
Educate yourself on the dangers of real estate wire fraud scams. Follow what your lender, title company, and settlement agency tell you to do for the closing.
 
Just like you, they have an investment in getting the transaction closed. Use their experience to your benefit so you can get on the road to homeownership!
 
At Lilly Title & Settlement, we take every precaution to ensure that your real estate transaction is safe, smooth, and secure. Learn more about us here.

​Buying a home is one of the biggest legal and financial transactions most people will ever make. Once your contract is ratified, inspections are done, and your loan is moving through underwriting, everything comes down to one date: closing day.

In Virginia, closing (also called settlement) is the day ownership of the property officially transfers to the buyer. Behind the scenes, your closing agent is:

•Preparing the deed
•Running the title search
•Coordinating with the lender
•Balancing the final figures
•Collecting funds
•Conducting the signing
•Recording the legal documents at the courthouse

For everything to land cleanly on your closing date, dozens of moving pieces from three or four different parties  have to line up., e.g. buyer, seller, lender, and title company.

When one piece slips, the whole closing slips with it.

As the purchaser or refinancer, you have the right to choose who closes your transaction, a licensed closing agent or an attorney. Under federal law (RESPA), the buyer generally has the right to choose the title company in a residential purchase; you are not required to use whoever your lender or real estate agent recommends.
​
Once your closing agent receives the title order, they order a title search, a location survey if required, real estate tax information, and payoff statements, then schedule your settlement date.

The day before or the day of closing, your lender sends final loan instructions, and your closing agent prepares the final settlement statement. If adjustments are needed at this stage, closing can be delayed. That's one more reason to start early.

Once everything is confirmed, the lender remits funds to the closing agent's escrow account for disbursement.

A lender’s title insurance policy provides no protection for the buyer. It only protects the lender. If there is a fault in the title that results in a financial loss, the lender will be paid back.
 
Buyers often think that if lender’s title insurance is listed on the closing form, they are protected, but they aren’t.
 
It’s up to the buyer to purchase their own title insurance. We strongly recommend that buyers make the one-time purchase of homeowner title insurance. It protects the purchaser in the event that the property title—proof of ownership—is flawed.
 
Such flaws can include easements, inaccurate notary acknowledgments and deeds, wills, or trusts that have the wrong names or improper vestings, outstanding mortgages or liens.

Closing costs generally fall into two categories:
Variable fees (differ by closing agent) and settlement/closing fee

•Title search/abstract fee
•Title insurance premium
•Title insurance binder fee
•Location survey fee
•Courier/overnight fee
•Notary fee
•Document preparation fee

Non-variable fees (set by the state or county) transfer and recordation taxes charged by the Commonwealth of Virginia, plus recording costs charged by the county or city clerk for the deed, the deed of trust, and other documents that require legal recording.

​Unless your contract says otherwise, the purchaser and seller typically split these.

​In Virginia, owner's title insurance is optional but your lender will require you to buy a lender's title policy to protect its investment. That policy protects the lender only. If a title defect surfaces later, the lender gets made whole; you don't.

That's why we strongly recommend buyers make the one-time purchase of an owner's title insurance policy. It protects you against defects such as:

•Easements you weren't told about
•Inaccurate notary acknowledgments or deeds
•Wills or trusts with incorrect names or improper vesting
•Outstanding mortgages or liens from a prior owner

​It's the largest investment most people will ever make — it deserves its own protection, not just the lender's.

To close, both buyer and seller have documents to sign, and today neither party has to be present the same day. As a buyer, expect to sign:

•Closing Disclosure — states your loan amount, interest rate, monthly payment estimate, and closing costs
•Proof of Homeowners Insurance — required by your lender before they'll fund
•Loan Application — review the copy your lender gives you for accuracy
•Mortgage (Promissory) Note — your contract of repayment; review the interest rate, prepayment terms, and monthly amount carefully
•Escrow Account Statement — shows how much of your payment covers taxes, insurance, and mortgage insurance
•Deed — transfers ownership from the seller (grantor) to the buyer; must be notarized to be valid
•Title — not a document but a concept: your legal ownership rights in the property

If you're buying or selling a home in Staunton, Waynesboro, or anywhere in the Shenandoah Valley, a smooth closing date is one of the most important dates on your calendar. Movers are booked, leases are ending, payoffs are timed, and often another transaction is stacked behind yours. Here's what most commonly gets in the way.

1. Lender Underwriting and Last-Minute ConditionsThe #1 cause of closing delays is the loan, not the title. Underwriters often request additional documents late in the process:

• an updated pay stub
  
• a letter explaining a recent deposit
  
• an updated insurance binder, or proof a debt was paid off.
  

If the buyer doesn't respond quickly, the lender can't issue the “clear to close,” and without that, the title company can't finalize numbers or schedule signing.

How to avoid it: Respond to your lender within 24 hours, every time. Don't make large purchases, change jobs, or open new credit during the loan process.

2. Title Issues Discovered LateA title search may turn up an old lien, an unreleased mortgage, an unresolved estate, a boundary dispute, an unpaid HOA balance, or a deed error from a prior owner.

These are exactly the issues title companies are trained to find and clear — but some take time to fix, especially when they involve out-of-state heirs, prior lenders that have merged or closed, or older Virginia deeds with unclear chain of title.

How to avoid it: Choose your title company as early as possible, ideally the moment your contract is ratified, so the title search starts immediately. The earlier defects are found, the more time there is to resolve them before closing.

3. Missing, Incorrect, or Late-Arriving DocumentsClosings depend on paperwork from many sources:

• the lender's closing disclosure
  
• the seller's payoff statements
  
• HOA or condo resale packets
  
• survey results
  
• homeowners' insurance declarations
  
• power of attorney documents 
  
• trust paperwork.
  

Any missing piece can stall settlement.

How to avoid it: If you're using a power of attorney, a trust, or signing remotely, tell your title company at least two weeks before closing. If your home is in an HOA, request the resale packet early.

4. Appraisal ProblemsIf the appraisal comes in below the contract price, the lender will only finance based on the appraised value.

The buyer and seller then have to renegotiate. The buyer brings extra cash, or the deal restructures, all of which take time. Appraisals can also be delayed simply because appraisers are booked out, especially in busy seasons.

How to avoid it: Order the appraisal early and stay flexible on terms. If the value comes in low, work quickly with your agent to negotiate rather than letting days pass.

5. Buyer or Seller Changes at the Eleventh HourA buyer changes their mind on a co-borrower. A seller decides to take an appliance that was supposed to convey. Someone wires funds late. A signer can't make the appointment, and no one mentioned a power of attorney. These small human moments are some of the most common causes of last-minute reschedules.

How to avoid it: Confirm who is signing, how funds are being delivered, and what's conveying with the property at least a week before closing , not the day of.

A smooth closing in Virginia almost always traces back to a few habits:

•Pick your title company immediately after ratification. In Virginia, the buyer typically has the right to choose. Don't wait for the lender to assign one.
•Get your homeowner's insurance early — at least two weeks before closing — and send the binder to both your lender and your title company.
•Read every email from your title company and lender carefully. If something is requested, send it the same day.
•Avoid financial changes during the loan process: no new credit cards, no car loans, no job changes, no large unexplained deposits.
•Plan your wire transfer in advance. Wire fraud is real. We'll give you verified instructions — always call to confirm wire details using a phone number you've independently verified, never one from an email.
•Do your final walkthrough the day before, not the morning of closing, so any issues can be addressed before the signing table.

At Lilly Title & Settlement, we've guided buyers and sellers across Staunton, Waynesboro, and the Shenandoah Valley through thousands of closings since 2014. We start title searches early, communicate clearly, and make sure you understand every document before you sign it, so surprises don't show up at the closing table.

If you have a contract in hand, or you're shopping for a title company before you do, give us a call at our Staunton office or reach out to us online.

The earlier we're involved, the smoother and more on-time  your closing day will be.
Call Now: 540-414-8763

Frequently Asked QuestionsWho picks the title company in Virginia?Under federal law (RESPA), the buyer generally has the right to choose the title company in a residential purchase. You are not required to use a company recommended by your lender or real estate agent.

What's the difference between an owner's and a lender's title policy?A lender's policy protects only the lender — if it's paid back after a title defect, the lender is made whole, but you are not. An owner's policy is a separate, one-time purchase that protects you, the buyer, against financial loss from defects in the title to your home.

How long does a typical closing take in Virginia?From ratified contract to closing is usually 30 to 45 days for a financed purchase, and as little as 7 to 14 days for a cash purchase. The settlement appointment itself typically takes about an hour.

What happens if we don't close on the contract date?Most Virginia contracts allow a short grace period or can be extended in writing by mutual agreement. If a party is unwilling to extend, the contract can be terminated, and earnest money disputes may follow — which is why preventing delays is far better than negotiating after one.

Can I close remotely in Virginia?Yes. Virginia allows remote online notarization (RON) and mail-away closings in most cases. Tell your title company early so they can prepare the right documents and coordinate with your lender.
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What's the single best thing I can do to avoid a closing delay?Start title work the day your contract is ratified and respond fast to every request from your lender and title company. Speed and communication prevent more closing delays than anything else.

We've updated and expanded this post into a full guide. Read it here.