Title Insurance
New York City
New Jersey

What does it take to open a title agency in New Jersey as far as the money and details involved?

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Wiki User
2007-11-28 22:50:52

To open an title agency in New Jersey you will need the

following: 1. Title insurance producer's license (60 hr school

course, state testing & finger-printing and background check

+state licensing for 2 years + 24 hrs Continuing Education every

licensing period) Approx cost = $1500.00 2. Entity license for the

new agency - Registration fee/application fee Approx cost = $400.00

3. E&O Insurance (Errors and Ommissions)Policy of no less than

$500,000.00 coverage (some Underwriters and Banks require

$1,000,000.00) Cost based on no previous history as a title agent

or producer with no claims Approx Cost = $1,200 - $3,500.00 4.

Office = Market price for your area 5. Senior Title Examiner =

$50,000.00 + Annually 6. General non-licensed office support =

market price 7. Title Production Software ie: SnapClose.com $99.00

(Title Geek's software of choice) Other software systems $3000+ 8.

Utilities including phones, high speed internet access - market

price based on usage, # phones used, etc. 9. Office step up &

equipment - market price based on initial office design 10. Title

insurance Underwriter - no cost but takes several weeks to get

approved, and YES, they will check your credit history 11. NJ

Registration of your LLC or Corp Approx $250.00 12. Set up Banking

- Operations Account, Trust Account, and Underwriter Premium Trust

Account = Minimum $100 per account or whatever your bank requires

13. Website = market cost based on your needs and expectation for

web usage and advertising Low end = $25 per month + 14. Hard copy

marketing (flyers, brochures, etc.) = Approx $200 based on printing

and designing yourself - outside service $200+ 15. Accountant =

market price 16. In house Legal Counsel = market price 17. Sales

Rep = Typical start of 25% net premium commission + expenses MUCH

higher if Rep has an established book of business 18. Set up vendor

accounts for county, municipal and superior court searchers =

Typically no cost unless your credit history is poor and then you

may need to put up an initial deposit 19. Licensed title closers

(NOT just notaries) Typical "witness only" closing out of office =

$100-$200 per closing Additional costs as needed: Title Office

Manager $50K+ Annually, Jr. Title Examiner $35-40K+, Branch office

licenses, etc. I have designed, set up and assisted many new start

up agencies in New Jersey, my home state.

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