Mortgage rates · Guide

Title Insurance and Escrow in a Refinance

Why a refinance needs a new lender’s title policy and what happens to your escrow account.

Lender’s title policy

Each new loan needs a new lender’s title policy protecting the lender against title defects. Ask the title company about a reissue or refinance rate.

Owner’s policy

Your existing owner’s policy generally remains in force; you usually do not buy a new one.

Why a refinance needs a new lender’s title policy and what happens to your escrow account.

Escrow accounts

The new loan may require a new escrow deposit. Your old servicer refunds the old escrow balance after payoff, typically within weeks.

Shopping title services

Title and settlement are often in Section C of the Loan Estimate, meaning you can shop for them.

Reissue rates

Some title insurers offer a reissue or refinance discount when a policy was issued on the property within a recent period. Ask whether one applies.

Settlement agent

The settlement or closing agent coordinates payoff of the old loan, records the new mortgage and disburses funds. On the Loan Estimate, services you can shop for are listed separately from those you cannot.

Recording

After closing, the new mortgage is recorded with the county and the old lien is released. Check public records a few months later to confirm the release was recorded.

Questions

Who is the settlement agent? Is a reissue discount available? Which title services can I shop for?

General education only; confirm current rules with official sources and a licensed lender.

Sources

Sources checked 10/23/2026.

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