Using an Escrow and Titling Service?

[Sandi_k]

So, in my previous thread about inspecting VIN/HIDs prior to purchase, Mark was kind enough to post up a Vessel Documentation company in SoCal. I've exchanged some emails with them, and they are able to hold funds, do title searches once provided copies of the vehicle registrations (regardless of state, so ID ---> CA isn't a problem).

We told the seller that we would not go forward with a purchase unless all the ownership documents were in their name, from their state DMV/DOT. So they took care of that, and now have them, from the ID DMV.

We mentioned the escrow service option, as well as the mechanic and water test requirement to them, and they're fine with all of it - and thanked me for my patience while they got their stuff together. So far, they're reacting as I would hope if they're simply disorganized, instead of scammers.

Given that the docs are now in his name, but he's residing (with the boat) in AZ, we have two options.

1) Do the mechanic and water test in AZ, and then ask him to trailer it 40 miles away a CA branch of the DMV, where we can transfer ownership in our state.

2) Use an escrow and title service, as noted above.

Any cautionary tales about either one? For what it's worth, most of the versions and length and vintage of the boat we like best seem to be located in AZ - so this would not be the only out-of-state candidate.

ALSO: If anyone has any PERSONAL experience or recommendation for such a company, I'd love to hear it!

TIA.

Sandi

 

[Sandi_k]

Re: Using an Escrow and Titling Service?

I'd say you are good to go either way. The escrow and titling service does add a layer of protection but there is a cost associated with it. Up to you to decide if the cost is worth it.

I see it as added insurance. Sort of like collision coverage on my paid-off car. Not required, but certainly gives me some peace of mind. And I'm quite risk-averse in general - so spending $300 or so on a $25K purchase seems reasonable to me....

 

[UncleWillie]

Re: Using an Escrow and Titling Service?

I suppose a compromise option would be for both of you to go to an AZ Title bureau just so you feel warm and fuzzy.
They should be able to tell you if the paperwork is in order before you head for CA.
If needed, he can sign the title and have it notarized with a bill of sale at the AZ title office.
You could then be on your way to CA with a sense of confidence that all due diligence was performed.

If the seller is willing to travel to CA and back, to transfer the title, you may be purchasing from someone that is eligible for Sainthood!

 

[UncleWillie]

Re: Using an Escrow and Titling Service?

She said it's only 40 miles.

Even with you doing the driving, Getting a seller to go to a local title bureau is often a chore!
40 miles out and 40 back plus the paperwork time is going to take 3 hour minimum.
They may need you to buy them a meal and a tank of gas for the effort! :facepalm:

 

[Sandi_k]

Re: Using an Escrow and Titling Service?

Even with you doing the driving, Getting a seller to go to a local title bureau is often a chore!
40 miles out and 40 back plus the paperwork time is going to take 3 hour minimum.
They may need you to buy them a meal and a tank of gas for the effort! :facepalm:

Yes, of course. The reason we can't just go to the AZ DMV is that the boat is actually titled in Idaho. Physically it's in Arizona, but title is in ID. Since the CA DMV is notoriously picky, I want an immediate GO/No Go if there are any problems with the transfer.

Sandi

 

[UncleWillie]

Re: Using an Escrow and Titling Service?

Yes, of course. The reason we can't just go to the AZ DMV is that the boat is actually titled in Idaho. Physically it's in Arizona, but title is in ID. Since the CA DMV is notoriously picky, I want an immediate GO/No Go if there are any problems with the transfer. Sandi

Your can of worms just keeps getting bigger!

Getting everyone into CA may be you best option.
I missed that part where he got it titled in ID. ???
If the boat is in AZ, and the Owner is in AZ, why wasn't it titled in AZ?

Most states want the title brought into the state 30-90 days after you move.
And the Registration in the state that it spends most of the time.

You may be springing for the Meal and that tank of gas after all!

 

[Outsider]

Re: Using an Escrow and Titling Service?

I'm still trying to understand what the problem is. Is title transfer of a boat that will be titled in CA required to be transferred in CA? Would California even care where a properly conveyed title is from? Even if a Notary is required, it's the signature that's verified. I've bought a few boats in several states, and none cared where the title came from as long as the title was properly signed over ...

 

[Sandi_k]

Re: Using an Escrow and Titling Service?

I'm still trying to understand what the problem is. Is title transfer of a boat that will be titled in CA required to be transferred in CA? Would California even care where a properly conveyed title is from? Even if a Notary is required, it's the signature that's verified. I've bought a few boats in several states, and none cared where the title came from as long as the title was properly signed over ...

And getting it "properly signed over" is our concern. It's a lot of money. If the boat is stolen (worst case scenario) this prevents us from getting shafted.

And yes, in case you haven't heard, CA is crazy when it comes to air quality. I can see arguing with a DMV employee if the stickers have been removed from the boat. Regs say that a boat prior to 2008 is OK...but again, we want CLEAR title before we hand over the cash.

 

[Sandi_k]

Re: Using an Escrow and Titling Service?

Your can of worms just keeps getting bigger!

Getting everyone into CA may be you best option.
I missed that part where he got it titled in ID. ???
If the boat is in AZ, and the Owner is in AZ, why wasn't it titled in AZ?

It's a vacation home. I'm sure taxes are cheaper in ID than AZ, so his official "residence" for the boat is ID. But at the moment, it's physically in AZ.