In many Pennsylvania home purchases, buyers have a meaningful ability to shop for title and settlement services. A Realtor may recommend a title company, but a recommendation is not automatically the same thing as a requirement. Your lender, purchase agreement, financing, and the details of the transaction can still affect your options.
So if your Realtor hands you the name of a title company and says, “This is who we usually work with,” you do not need to panic or assume something is wrong. It may be an excellent recommendation. The useful next question is simply: “Do I have to use this company, or is this your recommendation?”
A Realtor Recommendation Is Not Automatically a Requirement
Realtors work through many transactions and often develop relationships with title and settlement companies they trust. They may know which companies answer quickly, coordinate well with lenders, explain things clearly to buyers, and help keep a closing organized.
There is nothing inherently wrong with considering that recommendation. In fact, knowing why your Realtor recommends a company can be useful.
But buyers should still feel comfortable asking questions and understanding their options before deciding who will handle an important part of their home purchase.
A York Homebuyer Example
Imagine a Realtor in York—we’ll call her Janet—is helping a couple we’ll call the Humphreys buy a home.
Janet tells them, “I have a title company I work with all the time. They’re great.”
The Humphreys had a confusing experience during a previous closing. Nothing about Janet’s recommendation necessarily concerns them, but this time they want to understand the process instead of simply accepting the first name they are given.
That is reasonable.
They can ask Janet why she likes the company. They can visit the company’s website, read recent Google reviews, call with a question, ask who will be their main point of contact, and find out whether the company can work with their lender and closing schedule.
The point is not to reject a Realtor’s recommendation. It is to turn a recommendation into an informed decision.
Can a Seller Require a Particular Title Company?
For a property being purchased with the assistance of a federally related mortgage loan, Section 9 of the Real Estate Settlement Procedures Act, or RESPA, provides an important buyer protection. A seller may not require the buyer, directly or indirectly and as a condition of the sale, to purchase title insurance from a particular title company.
In everyday language: in a covered financed purchase, a seller generally cannot say, “You only get this house if you buy your title insurance from this company.”
That does not mean every Pennsylvania transaction can be reduced to the rule “the buyer always chooses.” Cash transactions, lender requirements, contract terms, and other transaction-specific circumstances can change the analysis.
What About the Mortgage Lender?
A mortgage lender may have requirements that a closing-service provider must satisfy, but that does not automatically mean the lender chooses every provider for you.
Your Loan Estimate is a useful place to look. Page 2 separates certain closing costs into services you cannot shop for and services you can shop for. The Consumer Financial Protection Bureau explains that consumers can shop for services shown in Section C of the Loan Estimate.
The lender should also provide a written list of providers for services you are permitted to shop for. You may be able to use a provider that is not on that list if the lender agrees to work with that provider.
If you already have a title or settlement company in mind, ask the lender rather than assuming the answer is no.
What If You Are Paying Cash?
A cash purchase does not involve the same mortgage-lending framework, so the purchase agreement and the particular transaction become especially important.
This is one reason Penn Charter Abstract does not recommend treating “the buyer always chooses” as an absolute rule for every transaction. If there is uncertainty or a genuine disagreement about what a contract requires, that is a legal question and the parties should seek appropriate legal guidance.
Why Does the Title Company Choice Matter?
A title and settlement company does more than provide a place to sign papers.
Depending on the transaction, the settlement team may coordinate with the buyer, seller, Realtors, lender, county offices, and other parties while reviewing title information, addressing issues before closing, preparing settlement documents, handling funds, and helping get the transaction ready to close.
Good communication and preparation can make a complicated process feel considerably simpler to the buyer.
Penn Charter’s broader guide to choosing the right title and settlement company explains additional factors to consider when comparing providers.
What Should You Compare Before Choosing?
- Communication: Who will be your main point of contact, and how will the company keep you informed?
- Lender compatibility: Can the title company work with your lender and satisfy the requirements for your transaction?
- Closing timeline: Can the company coordinate with the dates and deadlines in your transaction?
- Fees: What charges apply to your transaction, and which may vary?
- Responsiveness: What happens when you call or email with a question?
- Reviews and reputation: What do recent customers say about communication and their experience?
- Problem-solving: How does the company communicate when a title issue appears before closing?
For a residential purchase or sale, you can also learn more about Penn Charter Abstract’s residential title and closing services.
A Local Recommendation Can Still Be Valuable
Choosing for yourself does not mean ignoring the people helping with your transaction.
A Realtor who has seen a title company communicate well across many closings may be giving you useful information. The same is true of recommendations from lenders and other professionals involved in a transaction.
The better approach is to understand whether you are hearing a recommendation or an actual requirement, then ask enough questions to make an informed decision.
In the York example above, the Humphreys do not need to dismiss Janet’s recommendation. They can thank her, learn why she recommends the company, do some research of their own, and decide whether that provider fits their transaction.
If your transaction is in York, Penn Charter also has information about its title and settlement services in York, Pennsylvania.
What Penn Charter Abstract Encourages Buyers to Do
Lesley Hurst, owner and president of Penn Charter Abstract, encourages buyers to ask questions and understand their options rather than feeling that they must automatically accept the first recommendation they receive.
Penn Charter values the Realtors and other professionals it works with throughout Central Pennsylvania. At the same time, buyers should feel comfortable researching a title company, reading its Google reviews, and calling directly with questions before making a decision.
A simple conversation can tell you a great deal about whether a company explains the process in a way that makes sense to you.
Watch: Do You Have to Use the Title Company Your Realtor Recommends?
In this episode of The Central PA Closing Table, Brittney and Ashley walk through the question from a homebuyer’s point of view, including the hypothetical Janet and Humphreys scenario.
Authoritative Sources
- Consumer Financial Protection Bureau: Regulation X § 1024.16 — Title Companies
- Consumer Financial Protection Bureau: Can a seller require a particular title insurance company?
- Consumer Financial Protection Bureau: Shop for title insurance and other closing services
- Consumer Financial Protection Bureau: Loan Estimate explainer
Frequently Asked Questions
Do I have to use the title company my Realtor recommends in Pennsylvania?
Not automatically. A Realtor’s recommendation is not, by itself, the same thing as a requirement. In many financed Pennsylvania home purchases, buyers have a meaningful ability to shop for title and settlement services, although lender requirements, the contract, and the details of the transaction can still matter.
Can the seller make me use a particular title company?
For property being purchased with the assistance of a federally related mortgage loan, RESPA Section 9 prohibits a seller from requiring the buyer, directly or indirectly and as a condition of the sale, to purchase title insurance from a particular title company.
Can my mortgage lender tell me which title company to use?
Lenders can have requirements for providers involved in the transaction. Check page 2 of your Loan Estimate to see which services are listed as services you can shop for, and ask the lender what requirements apply if you want to use a provider that is not on its written list.
Should I ignore the title company my Realtor recommends?
No. A Realtor may have valuable experience with a company’s communication and transaction coordination. Ask why the company is being recommended, then do your own research and decide whether the provider fits your transaction.
What should I ask a title company before choosing one?
Ask who your main contact will be, how the company communicates, whether it can work with your lender and closing timeline, what fees may vary, and what happens if a title issue appears. Reviews and a direct phone conversation can provide additional context.
Have Questions About Your Title Company Options?
Penn Charter Abstract helps buyers understand the title and settlement process without making it more complicated than it needs to be. If you have questions about a Pennsylvania home purchase, call 717-295-4520 or start a conversation with our team.
This article is for general educational purposes only and is not legal, tax, insurance, or financial advice. Every transaction is different. If you have a question about the interpretation of a purchase agreement or your legal rights, consult an appropriate attorney.
Read the Podcast Transcript
Brittney: Welcome to The Central PA Closing Table, a podcast from Penn Charter Abstract in Lancaster, Pennsylvania. I’m your host, Brittney, and joining me is my co-host, Ashley.
Ashley: Hi, Brittney. Today’s question is one I think a lot of buyers have, especially if they’re buying a home for the first time: Who actually chooses the title company in Pennsylvania?
Brittney: In many financed home purchases, the buyer has a meaningful ability to shop for title and settlement services. But I want to be careful with the word “always,” because the lender, the contract, and the details of the transaction can still matter.
Ashley: Okay, so if my Realtor says, “Here’s the title company we usually use,” do I have to use that company?
Brittney: Usually, a recommendation is just that—a recommendation. Realtors often know which title companies communicate well, respond quickly, and keep a transaction moving. There is nothing wrong with taking that recommendation seriously.
But buyers should still feel comfortable asking, “Do I have a choice?”
Ashley: So my Realtor can recommend someone without actually choosing for me.
Brittney: Exactly.
Ashley: Can we make this a little more real? Let’s say there’s a Realtor in York—we’ll call her Janet. Janet is helping a couple buy a home, and we’ll call them the Humphreys.
Janet says, “I have a title company I work with all the time. They’re great.”
The Humphreys had a confusing closing on a previous home, so this time they want to understand more before they just say yes. What should they do?
Brittney: First, they should not assume Janet’s recommendation is a bad thing. Janet may have very good reasons for recommending that company. Maybe they communicate well, solve problems quickly, and Janet has seen them handle a lot of closings successfully.
But the Humphreys can still do their own homework.
They can look at the company’s website, read recent Google reviews, see whether the company serves their area, ask who will actually handle their file, and call with a question before making a decision.
Ashley: Honestly, that seems pretty normal. I would read Google reviews before choosing a restaurant. This company is helping handle the closing on my house.
Brittney: Exactly. Reviews are not the whole decision, but they can give you a sense of how other people describe their experience.
And one of the simplest things a buyer can do is call the company and ask a question. Do they answer clearly? Do they make you feel comfortable asking questions? Do they explain things in language you understand?
Ashley: That actually sounds like something I would care about a lot more than I would have realized before doing this podcast.
Brittney: And that comes up here in Central Pennsylvania. I know Lesley Hurst, the owner of Penn Charter Abstract, would encourage buyers to ask questions and understand their options instead of feeling like they have to automatically go with the first recommendation they receive.
We value the Realtors we work with, and a good Realtor recommendation can be very helpful. But buyers should still feel comfortable doing their own research, checking Google reviews, and calling a title company directly with their questions or concerns.
Ashley: So the Humphreys could basically say to Janet, “Thanks for the recommendation. We’re going to check them out.”
Brittney: Absolutely.
Ashley: What about the seller? Can the seller say, “You have to use our title company”?
Brittney: In many purchases involving a federally related mortgage loan, federal law gives buyers an important protection. A seller generally cannot make the sale conditional on the buyer purchasing title insurance from a particular title company.
Ashley: Can you put that in normal-person language?
Brittney: Sure. In many typical financed home purchases, the seller cannot simply say, “You only get this house if you buy your title insurance from this company.”
Ashley: Much better.
What about the lender? I think a lot of buyers probably assume the bank is in charge of all of this.
Brittney: The lender does have requirements, but that does not always mean the lender chooses the title company for you.
Your Loan Estimate can help. It separates some closing services into services you can shop for and services you cannot.
If title or settlement services are ones you can shop for, ask the lender what requirements another provider would need to meet.
Ashley: So if I already know a title company I want to use, I should ask instead of assuming the lender will say no.
Brittney: Right. The title company still needs to be able to work with the lender and meet the requirements for that transaction.
Ashley: What if I’m paying cash and there is no lender?
Brittney: Then the mortgage rules may not apply the same way, and the purchase agreement becomes especially important.
That is one reason we should not say, “The buyer always chooses, period.”
If the contract is unclear or there is a real disagreement about what it requires, that is the point where you should get legal guidance rather than guess.
Ashley: Let’s say I do have a choice. Why should I care which title company I use? Isn’t closing basically closing?
Brittney: That is a fair question. A title and settlement company is doing more than giving everyone a place to sign papers.
They may be coordinating with the buyer, seller, Realtors, lender, county offices, and other parties. They are reviewing title information, helping address issues before closing, preparing settlement documents, handling funds, and helping get the transaction ready to close.
Ashley: So maybe the best title company is the one you barely notice because everything feels organized.
Brittney: That can certainly be part of it. Good communication and preparation can make a complicated process feel much simpler.
Ashley: If I’m comparing companies, what should I actually ask?
Brittney: Keep it simple.
Ask who your main point of contact will be.
Ask how they communicate during the transaction.
Ask whether they can work with your lender and your closing timeline.
Ask what fees may vary.
And ask what happens if a title issue comes up before closing.
Ashley: Would price be the main thing you compare?
Brittney: Price matters, but it should not be the only thing.
A real estate closing involves deadlines, documents, money, and several people who all need accurate information.
Sometimes a better question is, “Will this company communicate clearly and help me understand what is happening?”
Ashley: What if somebody is really pushing me toward one company and I’m not sure whether it is a recommendation or an actual requirement?
Brittney: Ask directly: “Do I have to use this company, or is this the company you recommend?”
If it is a financed purchase, you can also ask your lender which services you are allowed to shop for and what requirements another provider would need to meet.
Ashley: So the big takeaway is not really, “The buyer always chooses.”
Brittney: Right. The better takeaway is this: in many Pennsylvania home purchases, buyers have a meaningful ability to shop for title and settlement services, but the lender, the contract, and the details of the transaction can still matter.
Ask early. Find out whether you have a choice. If you do, compare communication, responsiveness, experience, fees, Google reviews, and whether the company can work smoothly with the rest of your transaction.
Ashley: And maybe actually call them before you decide.
Brittney: Exactly. A five-minute conversation can tell you a lot about whether you feel comfortable working with someone.
If you are buying a home in Pennsylvania and have questions about the title and settlement process, Penn Charter Abstract would be glad to help explain what to expect and what questions to ask. You can also read our Google reviews, visit PennCharterAbstract.com, or call 717-295-4520.
This conversation is for general education and is not legal, tax, insurance, or financial advice.
Ashley: Thanks for joining us at the table.
Brittney: We’ll see you next time on The Central PA Closing Table.
