Which of the following is an example of a settlement cost?

Title fees represent a type of settlement cost because they are expenses that are directly associated with the closing of a real estate transaction. Settlement costs, often known as closing costs, encompass a variety of charges incurred by the buyer and seller as part of the transaction process. Title fees specifically pertain to the costs associated with securing the title of the property, ensuring that the title is clear, and conducting title searches so that the buyer can receive clear ownership.

In contrast, while insurance premiums, homeowner association dues, and property management fees may be costs associated with property ownership, they are not typically categorized as settlement costs. Insurance premiums are ongoing expenses that protect against potential losses, homeowner association dues are regular payments for shared community services, and property management fees cover management services for rental properties. These costs arise after the settlement, whereas title fees are crucial for the transaction's completion at the point of closing.