• 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!

armrecsys

TUG Member
Joined
Jun 6, 2005
Messages
374
Reaction score
13
Points
378
Hi , I am in escrow buying another timeshare.
I have purchased other timeshare before with out buying tittle insurance.
The one I am buying now I have called the timeshare to make sure they are owners and got a copy of the deed. What will tittle insurance do.
Please help, escrow closing soon.
 

brianfox

TUG Member
Joined
Apr 14, 2007
Messages
796
Reaction score
445
Points
423
Location
Thousand Oaks
Resorts Owned
Marriott Waiohai x3
What will tittle insurance do.

Title insurance will take a big chunk of money from your wallet.

It essentially does a title search and guarantees (to a point) that no liens or title disputes are on the property. If you got a copy of the deed, you are ahead of the game, and are probably fine. I presume you did a deed lookup for the state in which the property exists.

Most people here don't bother with title insurance. The exception may be if you are buying a very expensive piece of property.
I just completed three Marriott Hawaii purchases using no insurance. No problems. Insurance would have been about $400 per deed.
 

dioxide45

TUG Review Crew: Expert
TUG Lifetime Member
Joined
May 20, 2006
Messages
48,483
Reaction score
19,937
Points
1,399
Location
NE Florida
Resorts Owned
Marriott Grande Vista
Marriott Harbour Lake
Sheraton Vistana Villages
Club Wyndham CWA
Any kind of insurance is something you don't think you need until you need it. Many people buy homes without buying title insurance, but lenders will always required a lenders title policy to protect their interest. With any real estate transaction, you need to consider the risk vs the cost.
 

TUGBrian

Administrator
Joined
Mar 24, 2006
Messages
22,412
Reaction score
8,074
Points
1,099
Location
Florida

vacationtime1

TUG Review Crew: Veteran
TUG Member
Joined
Sep 7, 2006
Messages
5,234
Reaction score
2,838
Points
649
Location
San Francisco
Resorts Owned
WKORV-OF (Maui)
WKV x2 (Scottsdale)
Any kind of insurance is something you don't think you need until you need it. Many people buy homes without buying title insurance, but lenders will always required a lenders title policy to protect their interest. With any real estate transaction, you need to consider the risk vs the cost.

+1

If title insurance costs $250/deed and there is a 1% chance of a covered title defect, one shouldn't buy title insurance unless the purchase price is >$25,000.

Remember that title insurance only covers title issues. Title insurance does not cover unpaid MF's, wrong use years, etc. You protect yourself on those kinds of issues with an estoppel -- which is a lot cheaper than title insurance and far more likely to disclose the kinds of problems we deal with in the timeshare universe. I bought title insurance on my WKORV-OF purchase but I have demanded estoppels on every unit I have ever purchased.
 

dioxide45

TUG Review Crew: Expert
TUG Lifetime Member
Joined
May 20, 2006
Messages
48,483
Reaction score
19,937
Points
1,399
Location
NE Florida
Resorts Owned
Marriott Grande Vista
Marriott Harbour Lake
Sheraton Vistana Villages
Club Wyndham CWA
It will cover unpaid MFs if there has been a lien filed against the property for those unpaid fees.
 

icydog

TUG Review Crew: Expert
TUG Member
Joined
Jun 6, 2005
Messages
4,867
Reaction score
334
Points
468
Location
Central NJ
Every DVC contract I’ve bought or sold required Title Insurance. I thought it was a requirement from the developer but it turns out the closing companies automatically add it on. I guess for big ticket timeshares they don’t want to mess around. On my Marriott’s, I think I was asked but I don’t remember if I took it out.
 

Saintsfanfl

TUG Member
Joined
Mar 7, 2012
Messages
8,849
Reaction score
633
Points
399
Location
Central Florida
Every DVC contract I’ve bought or sold required Title Insurance. I thought it was a requirement from the developer but it turns out the closing companies automatically add it on. I guess for big ticket timeshares they don’t want to mess around. On my Marriott’s, I think I was asked but I don’t remember if I took it out.

The only way they can make you buy title insurance is if you are financing and even then it would be a required lender policy and not an owner policy. It's the same with a house. Often times with a house the buyer pays for the lender policy and the seller pays for the owner policy.
 

Saintsfanfl

TUG Member
Joined
Mar 7, 2012
Messages
8,849
Reaction score
633
Points
399
Location
Central Florida
It will cover unpaid MFs if there has been a lien filed against the property for those unpaid fees.

Not if the lien is known and already occurred. It would be discovered in the search. Also, wouldn't unpaid fees be part of the search? This is done with a house purchase.
 

dioxide45

TUG Review Crew: Expert
TUG Lifetime Member
Joined
May 20, 2006
Messages
48,483
Reaction score
19,937
Points
1,399
Location
NE Florida
Resorts Owned
Marriott Grande Vista
Marriott Harbour Lake
Sheraton Vistana Villages
Club Wyndham CWA
Not if the lien is known and already occurred. It would be discovered in the search. Also, wouldn't unpaid fees be part of the search? This is done with a house purchase.
Correct, if they find the lien. A title insurer won't issue a policy unless the lien is paid off at the time of transfer. If they don't find the lien, then they would cover it. A title insurer wouldn't have any way to validate unpaid fees. If there are unpaid HOA fees on a condo, does title insurance cover or find those?
 

Saintsfanfl

TUG Member
Joined
Mar 7, 2012
Messages
8,849
Reaction score
633
Points
399
Location
Central Florida
No I don't think the insurance covers unpaid HOA or COA fees. It's the title company that checks for the fees rather than the insurance but checking is an easy process. It's basically a finance estoppel like with a timeshare. An HOA I was recently at that would bill monthly would get inquiries on a regular basis for any unpaid fees. This way any unpaid balances would be covered as part of the settlement.
 

Saintsfanfl

TUG Member
Joined
Mar 7, 2012
Messages
8,849
Reaction score
633
Points
399
Location
Central Florida
I think title insurance covers unknown encumbrances. Something like unpaid fees that should be discovered by the title company but are missed should be covered by the title company's insurance if it came to that.
 
Top