Title insurance premiums written during the second quarter decreased 8.5% when compared to the same period a year ago, the American Land Title Association (ALTA) reports in its preliminary Market Share Analysis.
According to the analysis, the title insurance industry generated $2.3 billion in title insurance premiums during the second quarter – down from $2.5 billion during the same period last year. For the first half of this year, the industry reported $4.4 billion in title insurance premiums – down 2.9% from the first half of 2009.
"The latest market-share analysis reflects an ongoing recession in the housing market, with further downward pressure on home prices," says Kurt Pfotenhauer, CEO of ALTA. "With mortgage rates at record lows, we noticed a shift in more refinance transactions toward the latter part of the quarter. While an abundance of affordable homes and low interest rates make the market attractive, people need jobs to obtain credit and purchase homes."
The states generating the most title insurance premiums during the second quarter were California ($350.7 million, down 13.6% from the second quarter of 2009), Texas ($266.1 million, up 0.1%); Florida ($169.9 million, down 2.2%), New York ($150.8 million, up 2.4%) and Pennsylvania ($97.1 million, down 19.2%).
Only four states and the District of Columbia reported increases in title insurance premiums written when compared to second quarter of 2009.
SOURCE: American Land Title Association