First American title insurance

[hsc3boys]

could someone advise me please. This is our second contract, this time bought through Fidelity.
Just received some paper work from the closing company First American, the paperwork seems to relate to title insurance that is $60. I don't recall having this insurance last time, is it something I need to have?

 

[huskerfanatic7]

I might be mistaken but I thought they all came with title insurance and that was included in the closing costs

 

[supersnoop]

You have the option to purchase title insurance. It seems like a waste for a DVC contract. I declined it last time.

 

[hsc3boys]

I couldn't see what the benefit was and can't see the point of paying for something I don't need.

 

[MountainMouse]

Isn't it owner's title insurance vice lenders? I had assumed that this was insurance for the buyer in the case of a problem with the title after closing.

 

[supersnoop]

Isn't it owner's title insurance vice lenders? I had assumed that this was insurance for the buyer in the case of a problem with the title after closing.

Yes, that's exactly what it is. But how much risk is there with a DVC contract? Any liens should be filed and Disney wouldn't transfer a clouded title.

 

[MountainMouse]

Yes, that's exactly what it is. But how much risk is there with a DVC contract? Any liens should be filed and Disney wouldn't transfer a clouded title.

Yea, not my wheelhouse, I guess my thought would be to guard against mistakes such as missing something in the title search or transfer? What I really don't know and what probably tends to make people like me buy the insurance are the impacts of a problem. It probably depends on the severity but if the top end is having to fight someone in court, lose the property, or satisfy the lien then I tend toward purchasing. Maybe I'm wasting money.

 

[huskerfanatic7]

i just added on through Disney and in their paperwork says 60 dollars for title insurance which is included in your closing costs

 

[Spartan86]

We closed, albeit slowly with First American/Fidelity. Prior to paperwork I asked Bonnie the broker agent about using Magical Vacations Title as I had read here of their good service. She responded that I could use whichever title company I chose, but that *** was going to be $XXX and would not include title insurance. As my estimate using First American, to include title insurance was less I stayed with First American. FWIW the closing statement shows the insurance was $119 on a $21K purchase. I agree it is debatable whether it is necessary, but I didn't decline it.

 

[Nanaberry]

Yes, that's exactly what it is. But how much risk is there with a DVC contract? Any liens should be filed and Disney wouldn't transfer a clouded title.

I work for a title attorney. Always always get title insurance. If something is found prior to your purchase, or something isn't done correct with the transfer of the title to you title insurance protects you. And will cover legal fees to rectify the issue. You don't want the lender having the only protection; lenders usually only file claims to clear title issues in the event of default