If you are paying cash for your home, obviously there is no Bank (mortgage)involved so they do not require it. SO the question is do you as a cash buyer need it. First of all you must understand what Title insurance is for and how it pays off. If you research Title Insurance you will find that it is rarely paid out and even though all home purchases should have a title search and most if not all home transactions will state the title is being transferred free and clear, banks require it for their protecton. You will get different opinions here, but from my perspective if you are buyng directly from the Villages (the builder -NEW), it is extremely remote that a 3rd party would ever lay claim to your property....thus the need for title insurance would be minimal at best. If you are buying a resale property from a private owner the need for title insurance may become more of a requirement simpy because you are uncertain about the chain of ownership or mechanics liens etc that may have been placed on the property or possibly overlooked when a title search was done. Of course even in this situation, you could always go back and sue the seller of the property for not providing a clean and clear title, but you may never find them...
Ask yourself what kind of person are you and do the risks of not getting title insurance out weigh spending the $1000 (one time) or so to get it. If I had to put a risk ratio out there I would say its greater than 99:1 if you buy NEW from The Villages that something will NOT go wrong...so you are buying insurance for that <1%. The developer has built and sold more than 40,000 over 20 years and I have never heard of a "New" property title ever being questioned. Whereas buying resale, the % of something going wrong with the title is still very small but greater that buying a new property from the developer.
Your Choice!..there is not a right or wrong answer..whatever fits your comfort level or risk tolerance based on knowing the facts available.
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