The following letter was sent to New York Times editor Tom Feyer on February 1, 2018.

In response to:

New York’s Hidden Home Buyer Closing Costs: Luxury Boxes and Mint Mojitos by Shane Goldmacher (1/29/18):

The recent article tells only a portion of the story focusing only on the sensational.

This is really a story of small companies that are now in jeopardy due to the new Department of Financial Services (DFS) regulations. The regulations do much more than just limit marketing activities.

They effectively require the title industry to accept a mandatory five percent rate cut, without industry input or actuarial justification for such a rate cut.

This will be the 4^th cut we have had in 15 years.

They further limit how much title insurance companies can charge for their services. Our members have been very clear about the effect of these regulations: people will lose jobs, businesses will close, and those who remain employed will be forced to take pay cuts and pay more for health insurance. 

In the end, consumers will see less competition, fewer local businesses, higher prices, and potential delays on closings.

We remain committed to working with the DFS to revise the regulations so that they benefit consumers and do not threaten the continued existence of title insurers and agencies throughout the state. However, these drastic regulations will not fix the problems facing consumers, only trigger new ones.

Robert Treuber

Executive Director

New York State Land Title Association