• The TUGBBS forums are completely free and open to the public and exist as the absolute best place for owners to get help and advice about their timeshares for more than 30 years!

    Join Tens of Thousands of other Owners just like you here to get any and all Timeshare questions answered 24 hours a day!
  • TUG started 30 years ago in October 1993 as a group of regular Timeshare owners just like you!

    Read about our 30th anniversary: Happy 30th Birthday TUG!
  • TUG has a YouTube Channel to produce weekly short informative videos on popular Timeshare topics!

    Free memberships for every 50 subscribers!

    Visit TUG on Youtube!
  • TUG has now saved timeshare owners more than $21,000,000 dollars just by finding us in time to rescind a new Timeshare purchase! A truly incredible milestone!

    Read more here: TUG saves owners more than $21 Million dollars
  • Sign up to get the TUG Newsletter for free!

    60,000+ subscribing owners! A weekly recap of the best Timeshare resort reviews and the most popular topics discussed by owners!
  • Our official "end my sales presentation early" T-shirts are available again! Also come with the option for a free membership extension with purchase to offset the cost!

    All T-shirt options here!
  • A few of the most common links here on the forums for newbies and guests!

Title Insurance for cheap timeshare

Kauai Kid

TUG Review Crew: Veteran
TUG Member
Joined
Jun 6, 2005
Messages
3,889
Reaction score
17
Points
273
Location
Texas-elevation 950 feet
Should I buy timeshare title insurance for $550 when I'm buying a $100 timeshare? Seems like the most I'd be out would be one hundred bucks if there was a problem with the timeshare title.

Thanks,

Sterling
 

Stefa

TUG Member
Joined
Jun 7, 2005
Messages
1,408
Reaction score
0
Points
396
I wouldn't bother.

I've only had title insurance for one of my timeshares. The timeshare cost almost $30,000 and the closing costs including title insurance was less than $550. (Fortunately I came to my senses and sold it before the market crashed.)
 

DeniseM

Moderator
Joined
Jun 6, 2005
Messages
57,668
Reaction score
9,087
Points
1,849
Resorts Owned
WKORV, WKV, 2-SDO, 4-Kauai Beach Villas, Island Park Village (Yellowstone), Hyatt High Sierra, Dolphin's Cove (Anaheim)
I wouldn't - if you pay $550 for title insurance, and lose $100 bucks - they will only pay you $100. Would you rather lose $100 or $550?

You are better off to just use a reputable closing company, and getting an estoppel letter BEFORE you send the final payment.

BUT..... I thought you were going to quit buying timeshares? ;)
 

phil1ben

TUG Member
Joined
Oct 18, 2010
Messages
191
Reaction score
70
Points
238
Location
Northeast
In my opinion Denise is correct. If you are only paying $100.00 title insurance will only pay for your loss in the event of a claim. To protect yourself:

1. Get copy of estoppel before you close AND READ IT.
2. If ROFR applies get copy of waiver letter before you close
3. Within 60 days after closing be sure to get the recorded deed
4. Review the title search the closing company will get to be sure that any mortgages or other liens are paid at closing, there are no judgments against the Seller and that the seller is not bankrupt. Read the the title search. You can do it. You must get a title search to confirm that seller owns the unit free and clear of liens. This is different than title insurance.

My answer would be different if you were paying $1000s for the unit. In that case I would purchase a title insurance policy.
 

Robert D

TUG Review Crew
TUG Member
Joined
Jul 31, 2006
Messages
1,912
Reaction score
100
Points
424
Location
Austin, TX
In my opinion Denise is correct. If you are only paying $100.00 title insurance will only pay for your loss in the event of a claim. To protect yourself:

1. Get copy of estoppel before you close AND READ IT.
2. If ROFR applies get copy of waiver letter before you close
3. Within 60 days after closing be sure to get the recorded deed
4. Review the title search the closing company will get to be sure that any mortgages or other liens are paid at closing, there are no judgments against the Seller and that the seller is not bankrupt. Read the the title search. You can do it. You must get a title search to confirm that seller owns the unit free and clear of liens. This is different than title insurance.

My answer would be different if you were paying $1000s for the unit. In that case I would purchase a title insurance policy.

Lot of times the closing company doesn't do a title or lien search but you can do it yourself by doing a document search on the county recorder's website in the county in which the resort is located. Just do a seach for all documents with the seller's name on it. Look carefully for any that are liens or deeds of trust.

I totally agree that in most cases a title policy is a waste of money for a TS. I would only buy a title policy if the TS cost is over $5,000 but I always do a thourough lien search in addition to the items Phil described.
 

Kauai Kid

TUG Review Crew: Veteran
TUG Member
Joined
Jun 6, 2005
Messages
3,889
Reaction score
17
Points
273
Location
Texas-elevation 950 feet
I wouldn't - if you pay $550 for title insurance, and lose $100 bucks - they will only pay you $100. Would you rather lose $100 or $550?

You are better off to just use a reputable closing company, and getting an estoppel letter BEFORE you send the final payment.

BUT..... I thought you were going to quit buying timeshares? ;)

My wife wants a new washing machine even though ours works fine--it is old.
I want a condo if I buy her a washing machine. The condo would be cheaper.

Neither one will fit under the Christmas tree. :hysterical:

Sterling
 
Top