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Title insurance is a substantial industry with a US market worth of $22 billion, despite the fact that we almost ever consider it. A title company, which facilitates the orderly transfer of ownership of homes, properties, and other assets, can be an excellent business to start right now. By doing so, you can capitalize on a market that is rapidly expanding. 

Starting a business is undoubtedly difficult and calls for planning, perseverance, and industry expertise. The good news is that you’ve come to the right place since this step-by-step manual has all the knowledge and advice you need to create and start your own title company.

Step 1: Find Out if this is the Right Business for You?

Before deciding if starting a title company is the appropriate move for you, you should weigh the benefits and drawbacks of doing so. A title firm handles the paperwork for money transfers and works with title insurance underwriters to ensure that everything is in order legally and financially.

Positives Vs Negatives

Flexibility: You can start out as a mobile title agent.
Providing customers with a necessary service while delivering value
Work with new people every day while being people-focused.
Red tape – Several paperwork call for meticulousness.
Obtaining a license requires training and an exam
  • Industry size and past expansion: According to the American Land Title Association, the US title insurance market earned $26 billion in premiums in 2021, a startling 36% increase from 2020. According to market researcher IBISWorld, the industry expanded at a rate of more than 6% annually over the previous five years.
  • Number of enterprises: Less than a thousand title insurance companies operate in the US.
  • Number of employees: Over 66,000 people are employed in the sector.

Cost of Starting Title Company Business

There are $2,000 to $32,000 in startup fees for title companies. Beginning as a mobile title agent will have a cheaper cost, but renting and setting up an office space will have a higher cost. 

Investment Items:

  • Computers
  • Copying and printing equipment
  • Conferencing tables and furniture

Is Title Company Profitable?

Prior to earning money, you must complete the required training and pass the test to become a licensed title agent. Licensing specifications vary from state to state. The procedure typically costs $75 to $200 and lasts no longer than 1-2 weeks.

At closing, an average of $300 is often paid to a title business or title insurance company. Your profit margin ought to be roughly 90% if you’re a mobile agent doing your work from home.

You may perform five closings every week in your first year or two of business, earning little about $80,000 a year. According to the assumed 90% margin, this would result in a profit of almost $70,000. In order to increase your margin to 40% as your business becomes more well-known, you’d probably rent an office and hire workers. If you conduct 40 closings every week, your annual revenue will be close to $625,000, and you’ll generate a healthy profit of approximately $250,000.

Entry Barriers

  • Preparation, research, and passing the licensure test
  • Competition from powerful, well-established title businesses is fierce.

Step 2: Create a Strategy

Identify a Gap

To compare services, costs, and client feedback of various title businesses in your neighborhood, conduct research. Finding a market gap to fill is what you’re after. For instance, it’s possible that the neighborhood lacks a dependable title insurance company with a user-friendly website or a mobile title service.  

Your word-of-mouth advertising may pick up steam as a result, drawing customers in immediately.


  • You must determine if you want to provide in-person closings, closings via mobile devices, closings via the internet, or closings via all three. Finding a trustworthy title insurance underwriting business to work with will also be necessary. Fidelity National Financial, First American Financial, Old Republic, and Stewart Information Services are the four major firms most frequently used, together referred to as “the Big Four.”


The typical charge for a closing is $300 paid to a title company. The only expenses you will have as a mobile service operating out of your house are for paperwork and fuel. You’ll have rent, operating expenses, and labor expenditures when you open an office. Even while you’ll still want to offer mobile services at this stage, you’ll be able to enhance your volume by also performing in-person closings.

The Step By Step Profit Margin Calculator can be used to calculate your markup and final price points once you have an understanding of your expenditures. Do not forget that the prices you use at launch should be flexible if the market requires it.

Target Market

As a mobile business, your primary target market will be mortgage brokers who will use you for refinance transactions. Once you have a location for in-person closings, realtors will become part of your target market. However, for the mobile aspect of your business, you should continue to network with mortgage brokers. On professional social networks like LinkedIn, you can find both of those target markets.


You can prefer to operate your company from home in the beginning to save money. But if your company expands, you could need to rent an office and you’ll probably need to hire people for a variety of jobs. On Craigslist, Crexi, and Commercial Cafe, you can locate rental office space in your neighborhood.

These general guidelines may be helpful to remember while selecting a commercial space:

  • Accessible by public transportation in a central location
  • With plenty of natural light and ventilation
  • As your firm expands, your lease might be made more accommodating.
  • A space that is ready to use and doesn’t require any substantial upgrades or repairs

Step 3: Write a Business Plan

A plan is important for any business. This will help you guide your new business through the launch process and keep your eye on your main goals. A business plan also helps possible partners and investors understand your business and its goals better:

  • Executive Summary: A brief outline of the whole business plan that should be written after the plan is done.
  • Business Overview: A summary of the company’s goals, vision, purpose, assets, and control structure.
  • What we make and what we do: Explain in detail what you’re selling.
  • Do a SWOT analysis and look at market trends like changes in demand and growth opportunities.
  • Competitive Analysis: Look at your key rivals’ strengths and flaws and make a list of what makes your services better.
  • Sales and Marketing: Look at the unique selling points (USPs) of your business and come up with sales, marketing, and promotion plans.
  • Management Team: An overview of the team’s tasks and professional backgrounds, as well as a business structure.
  • Operations Plan: Your company’s operational plan includes how it will get supplies, where it will put its office, what its most important assets and tools are, and other practical details.
  • Financial Plan: A three-year plan for money, including start-up costs, a break-even analysis, predictions of profits and losses, cash flow, and a balance sheet.
  • Appendix: Add any other papers related to money or business.

Step 3: Create a Marketing Plan

Some of your business will come from passersby or people who find you online, but you should still spend money on marketing! Getting the word out is especially important for new businesses because it will bring in more customers and make people more aware of the brand. 

Link your website to your social media accounts once your site is up and running. Social media is a great way to market your business because you can make posts that are interesting and sell your goods.

  • Facebook is a great place for paid ads because it lets you target specific groups, such as guys under 50 in the Cleveland area. 
  • Instagram: Same perks as Facebook, but it’s for a different crowd.
  • Website: Search engine optimization (SEO) will help your website show up higher in appropriate search results, which is a key part of making more sales. Make sure your website has clear calls to action. Try changing the size, color, and placement of calls to action like “Book Now” This could bring in a lot more customers.
  • Google and Yelp: Getting mentioned on Yelp and Google My Business can be very important for getting people to know about your business and buying from you.
  • Signage – Put up enticing signs at both your store and website. 
  • Flyering – Hand out fliers throughout your area and at professional gatherings. 
  • In-Person Sales – Offer your services to local companies and mortgage brokers when making in-person sales. 
  • Sponsor Events – Events you can afford to sponsor include those that pertain to your target audience.
  • Email marketing/newsletter – Send consumers and prospects regular emails as part of your email marketing and newsletter strategy. Personalize them. 
  • Begin a blog – Create a blog and publish frequently. Share on many websites and vary your content.
  • Find recommendations – Provide incentives to encourage existing customers to recommend new customers. 
  • Paid social media advertisements – Use sites that can help you contact your target audience and run focused ads.
  • Pay-per-click marketing – Use Google AdWords to rank higher in search results. Do some keyword research beforehand.
  • Create a podcast — This enables you to connect with your audience on a more intimate level.
  • Create a webinar – Share your knowledge through a video seminar.
  • Create infographics – Post them, then use them in your content.