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When you refinance you are obtaining a new loan, even if you stay with your original lender. Your lender will require lender's title insurance to protect their investment in the property. You will not need to purchase a new owner's title policy; the one you bought at closing is good for as long as you and your heirs have an interest in the property.
Even if you recently purchased or refinanced your home, there are some problems that could arise with the title. For example, you might have incurred a mechanics lien from a contractor who claims he/she has not been paid. Or you might have a judgment placed on your house due to unpaid taxes, homeowner dues, or child support, for instance. The lender needs reassurance that the title to the property they are financing is clear.
If it has been no more than 10 years since you bought your house or refinanced, ask for a reissue or discount rate. You might have to meet some criteria to be eligible, but be sure to ask about this.
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Consumers