Deborah - Unless things have changed, a person applying for a loan puts down an application fee, credit fee and/or an escrow deposit.  If the loan does not close etc. any expenses that were incurred attempting to finance the loan or other worked performed are first deducted from the escrow deposit with the balance being returned to the person that applied for the loan - the funds should be there.

All my title searches are payable - no deal should ever be made to the effect of whether or not it actually closes - we have no profit in our searches to begin with.  I would think that if the person ordering the title search did not wait until the preliminary measures were taken to make sure the person qualified for the loan and whether or not the contract was signed, it would be their fault (these are things I am assuming why a title search might be cancelled).  I even have a cancellation fee if a search was ordered and then cancelled that same day.  Work is already performed and if completed, the entire fee is charged.  I agree with someone's statement above that higher up in the chain, when a loan closes, they have a huge profit margin to cover ones that don't.  Now if anyone wants to start splitting the premium with me, I might think about letting a few go unpaid - what do you all think - lol!