Aulani - Issues with Escrow

[Curiousporpoise]

We are purchasing a resale Aulani contract, and passed Disney's ROFR several weeks ago. We have not received anything from escrow to date. Our escrow agent said that she couldn't issue title insurance, and was trying to purchase it from www.firstam.com with no luck. I contacted www.firstam.com on my own, and was told that they are no longer closing DVC resale transactions, and gave me another company to contact that is running 60 days out.

I read through the Closing and ROFR thread, and every Aulani purchase (that I read) is closing through www.firstam.com. Am I just out luck if I want to close with title insurance?

 

[RoseGold]

OMG this is horrible. I would read the contract very carefully and see if I can cancel the whole thing. I wouldn't close a resale DVC without title insurance.

This is also why I wouldn't buy Aulani in particular. DVC in Florida has a few good title company.

I'm surprised the broker isn't involved. Seems like they should have at least checked if your contract was possible. Ridiculous.

Edit to add: Don't you have to redo ROFR if you change something like the title company? Seems like this changes everything, acutally. I had to submit twice to ROFR when I changed title companies in FL, definitely what I would be doing if that company doesn't provide the service I actually need the most, the title insurance.

 

[JGINPL]

We are purchasing a resale Aulani contract, and passed Disney's ROFR several weeks ago. We have not received anything from escrow to date. Our escrow agent said that she couldn't issue title insurance, and was trying to purchase it from www.firstam.com with no luck. I contacted www.firstam.com on my own, and was told that they are no longer closing DVC resale transactions, and gave me another company to contact that is running 60 days out. I read through the Closing and ROFR thread, and every Aulani purchase (that I read) is closing through www.firstam.com. Am I just out luck if I want to close with title insurance?

Who is the other company that they are suggesting now? This is interesting so I'm going to follow this as I was going to be looking for a small contract but wouldn't to buy if I couldn't get title insurance.

 

[DVChris]

Sorry you're going through this. I've used both FirstAm and TRCS for my AUL purchases and found TRCS to be better.

Edit to add that neither were as good/fast as Cammy but maybe one day Mason will also handle AUL. With Cammy, I get final docs usually within 24 hours. With TRCS, it took about 5 days but the overall process was smooth.

 

[Paul Stupin]

How weird! I would get your broker involved asap. Have never experienced this with First American.

 

[Curiousporpoise]

OMG this is horrible. I would read the contract very carefully and see if I can cancel the whole thing. I wouldn't close a resale DVC without title insurance.

This is also why I wouldn't buy Aulani in particular. DVC in Florida has a few good title company.

I'm surprised the broker isn't involved. Seems like they should have at least checked if your contract was possible. Ridiculous.

Edit to add: Don't you have to redo ROFR if you change something like the title company? Seems like this changes everything, acutally. I had to submit twice to ROFR when I changed title companies in FL, definitely what I would be doing if that company doesn't provide the service I actually need the most, the title insurance.

I have to redo ROFR? Nooo!!! My current escrow agent said they contacted the broker and they’re trying to work something out. Have not heard back since. I was able to contact www.firstam.com in Hawaii, and they’re trying to see if they can assist with title insurance or taking over the whole transaction.

 

[Curiousporpoise]

Sorry you're going through this. I've used both FirstAm and TRCS for my AUL purchases and found TRCS to be better.

Edit to add that neither were as good/fast as Cammy but maybe one day Mason will also handle AUL. With Cammy, I get final docs usually within 24 hours. With TRCS, it took about 5 days but the overall process was smooth.

Was www.trcsinc.com able to offer title insurance for Aulani?

I checked with Cammy, and unfortunately they don’t close Aulani timeshares. Such a bummer.

 

[Curiousporpoise]

Who is the other company that they are suggesting now? This is interesting so I'm going to follow this as I was going to be looking for a small contract but wouldn't to buy if I couldn't get title insurance.

When I called the 1-800 number, www.first am.com was recommending www.dedicatedtimeshare.com. They are way more expensive and said they’re backed up 60+ days because of all the new referrals.

 

[Curiousporpoise]

How weird! I would get your broker involved asap. Have never experienced this with First American.

I’ll call my broker today. The escrow company told me they would work with my broker directly last week when they couldn’t provide a title policy, but I haven’t heard from either party to date.

 

[Shivanair]

Which broker are you purchasing this through? Sounds like the dropped the ball.

 

[Curiousporpoise]

Which broker are you purchasing this through? Sounds like the dropped the ball.

I don’t think I can name the broker, my last thread was deleted. But before it was deleted, there were a couple of people who commented that they would never work with this broker again.

 

[Curiousporpoise]

I don’t think I can name the broker, my last thread was deleted. But before it was deleted, there were a couple of people who commented that they would never work with this broker again as they had some bad experiences with them.

 

[RoseGold]

If the title company in your original contract can't provide title insurance (SCREAMING RED FLAG), that changes the whole contract. You either have different closing costs from another company, or you can't get title insurance at all. Seems like you would have to resubmit to ROFR.

This is a major title company. Either something is seriously up with this contract or with Hawaii in general. I would be running screaming from this contract, if I could. Very concerning the lack of communication from the broker.

 

[Shivanair]

Would you mind sending me a direct message with this info so I know who to avoid? Purchased through two different brokers in the past with varying degrees of ease, but what you are experiencing sounds like hell.
We own at Aulani, but purchased direct and to be honest we didn't bother to see if title insurance was included or not (didn't finance).

 

[Curiousporpoise]

If the title company in your original contract can't provide title insurance (SCREAMING RED FLAG), that changes the whole contract. You either have different closing costs from another company, or you can't get title insurance at all. Seems like you would have to resubmit to ROFR.

This is a major title company. Either something is seriously up with this contract or with Hawaii in general. I would be running screaming from this contract, if I could. Very concerning the lack of communication from the broker.

I know, this is a total nightmare. I guarantee closing costs will be different than the estimate in my contract. I have to call the broker on Monday. I did send an email and received notice that my file was transferred, but I have no idea where. It sounds very shady/possibly illegal since they have my deposit.

Sorry, just wanted to clarify its not www.firstam.com that dropped the ball. The escrow company that the broker selected usually purchases title insurance through www.firstam.com, but it sounds like they're no longer selling just title insurance.

 

[Paul Stupin]

If the title company in your original contract can't provide title insurance (SCREAMING RED FLAG), that changes the whole contract. You either have different closing costs from another company, or you can't get title insurance at all. Seems like you would have to resubmit to ROFR.

This is a major title company. Either something is seriously up with this contract or with Hawaii in general. I would be running screaming from this contract, if I could. Very concerning the lack of communication from the broker.

RoseGold speaketh the truth, and I'm not one prone to run away from any Aulani contract. If you cannot get title insurance, its very unavailability points to something wrong with the contract's ownership, and even possible fraud on the seller's part. Don't buy it unless you get valid title insurance, and a logical explanation as to what the difficulties were. Maybe there's a simple explanation, maybe not. And it couldn't hurt to voice your frustration to the broker, and I'm not sure I'd do it courteously either.

 

[Jimmy Geppetto]

I know, this is a total nightmare. I guarantee closing costs will be different than the estimate in my contract. I have to call the broker on Monday. I did send an email and received notice that my file was transferred, but I have no idea where. It sounds very shady/possibly illegal since they have my deposit.

Sorry, just wanted to clarify its not www.firstam.com that dropped the ball. The escrow company that the broker selected usually purchases title insurance through www.firstam.com, but it sounds like they're no longer selling just title insurance.

Could it be possible that FirstAm declined to insure the deed? If that is the case, I would be asking why and doing what I could to get out of this one.

To my knowledge FirstAm has NOT stopped insuring DVC contracts. If they have, it’s news to very reputable brokers who are still using them.

 

[RoseGold]

I guarantee closing costs will be different than the estimate in my contract.

Your contracted, agreed upon costs are not an estimate. If they can't do it, you need to figure out what the next steps are.

 

[Curiousporpoise]

Could it be possible that FirstAm declined to insure the deed? If that is the case, I would be asking why and doing what I could to get out of this one.

To my knowledge FirstAm has NOT stopped insuring DVC contracts. If they have, it’s news to very reputable brokers who are still using them.

I'm also wondering if FirstAm declined to insure the deed. The whole transaction is very strange. I called and emailed my broker today to ask where she moved escrow/my deposit to, and didn't receive a response. I went back to the escrow company and asked where my file was sent, and they gave me a name of an escrow company that had no idea what I was talking about and can't find me in their system. So that's where we are today.....

Is it crazy that I'm hoping for a rational explanation from my broker who is obviously avoiding me?

 

[Curiousporpoise]

Your contracted, agreed upon costs are not an estimate. If they can't do it, you need to figure out what the next steps are.

I just reviewed the contract and it says closing costs of approximately $xxx which includes title search and recording. I should have checked that before signing.