Buying a home is one of the biggest investments you’ll ever make, and protecting that investment is key. That’s where home title insurance comes in. Before we break down the cost of home title insurance, let’s first explain what it is and why it matters.

What Is Home Title Insurance?

Title insurance protects homeowners and lenders against financial loss from issues tied to the ownership history of a property. Think of it as a safeguard for your legal right to own your home.

Common problems it protects against include:

• Undisclosed heirs who claim ownership.
• Errors in public records.
• Forged documents or fraud.
• Unpaid liens from contractors or taxes.

Without title insurance, you could end up fighting costly legal battles and even risking your home.

How Much Is Home Title Insurance?

The cost of home title insurance usually ranges from a few hundred to a couple of thousand dollars, depending on the home’s value and location. It’s a one-time fee paid at closing, not a recurring expense like home insurance.

On average, you can expect property title insurance costs to run between 0.5% and 1% of the home’s purchase price. For example:

• $200,000 home: $1,000 to $2,000
• $400,000 home: $2,000 to $4,000

Lender’s title insurance is typically required by your mortgage company, while owner’s title insurance is optional but highly recommended for your protection.

Title Insurance vs. Home Title Lock

When researching coverage, many homeowners come across “home title lock insurance.” While the names sound similar, they provide very different levels of protection.

Feature	Home Title Insurance	Home Title Lock Insurance
Purpose	Protects your legal ownership rights and covers financial losses from title disputes.	Monitors property records for changes or suspicious activity.
Cost	One-time fee at closing (usually 0.5%–1% of home price).	Ongoing subscription, $15–$20 per month or $150–$200 per year.
Coverage	Pays legal fees and protects your equity if ownership is challenged.	Alerts you to potential fraud but does not cover legal costs or damages.
Requirement	Lender’s title insurance is often required; owner’s title insurance is optional but recommended.	Not required by lenders or closing agents.
Value	Provides lasting protection as long as you own the property.	Offers monitoring only—no actual financial protection.

Cost of Home Title Lock Insurance

The cost of home title lock insurance is usually $15 to $20 per month, or around $150 to $200 per year. While that may not seem like much, these premiums add up over time.

That could be acceptable if it provided real protection; however, unlike title insurance, it doesn’t actually safeguard your financial interest in the home.

Do I Need Home Title Lock Insurance?

If you’ve seen ads for home title lock insurance, they may have you worried. The ads often warn that thieves can “steal” the title to your home and claim the only solution is to buy title lock insurance. Stop and take a breath—that’s just a scare tactic.

First, know that title lock insurance is not title insurance. When you bought your home, you likely purchased title insurance to protect against challenges like unknown liens or ownership disputes. That’s real protection.

Title lock insurance, however, is not insurance at all—it’s a monitoring service. It only alerts you after your deed has been fraudulently transferred. By then, you’d still be left to fight the fraud in court, on your own dime.

Title fraud is essentially identity theft. Someone poses as you and files fake documents to transfer your home into their name. Title lock can’t prevent this, nor does it cover your legal expenses.

Worse, you can already monitor your deed for free through your state or county’s land records office. Many areas even offer free notification services that alert you to changes in property ownership.

Here are smarter, no-cost steps you can take to protect yourself:

• Check your credit report: Visit AnnualCreditReport.com for free weekly reports from all three major bureaus.
• Monitor your bills: A sudden stop in receiving utility bills could signal identity theft. Call your provider if you notice something off.
• Get help fast: If you suspect fraud, go to IdentityTheft.gov for a free, personalized recovery plan.
• Report scams: If you spot a fraudulent ad or scam, notify the FTC to help protect others.

The bottom line: you do not need home title lock insurance. It doesn’t prevent fraud, it doesn’t cover costs, and it charges for services you can access for free.

Real protection comes from home title insurance, which safeguards your ownership rights and pays legal fees if they’re challenged.

Choose Home Title Insurance, Not Title Lock

The cost of home title insurance is a one-time fee that protects your biggest investment from legal disputes and hidden ownership issues. While title lock services may sound appealing, they don’t provide real protection.

Any real estate transaction, especially if it’s your first, is going to have a lot of moving parts.

It’s easy to get things mixed up, but understanding the difference and staying diligent can save you from spending money you don’t need to while staying protected.

Free-Dom Tip: When purchasing a home, there are several ways to lose money if you’re not careful. One of the most common is failing to shop who will insure your home. Get a home insurance quote and compare top-rated companies near you to maximize your savings with just a few clicks.

FAQs About The Cost of Home Title Insurance

Title insurance can feel confusing, especially with all the noise around products like home title lock insurance. To keep things simple, we’ve broken down the facts.

Below, you’ll find clear answers to the most common questions about the cost of home title insurance and what related coverages actually mean for you as a homeowner.

Is Title Insurance Required?

Lender’s title insurance is usually required, but owner’s title insurance is optional. Still, it’s highly recommended to protect your equity.

Does Homeowners Insurance Cover Title Fraud?

No. Homeowners insurance protects against property damage and liability. Title fraud falls under title insurance, not homeowners insurance.

Is Home Title Lock Worth It?

No. Home title lock is a monitoring service, not insurance. It doesn’t cover costs or prevent fraud. Free or low-cost monitoring options are already available through local governments.

Sources:

FTC. Accessed September 2025.