Titans will throttle regardless of air or water with the current issue with the over-aggressive throttling mechanisms in place on the card.
Unless you run one of the custom BIOS to over-ride it, you'll have to deal with that throttling. People who are using the custom BIOS are doing fine on air, yes they are getting high temperatures, but nothing air can't handle. Reading results at OCN from water and air coolers, everyone is getting the same general range topping out their OCs; 1150 to 1250Mhz.
Titan is just like GK104 in that you can't raise voltages beyond what is hardlocked on the cards, 1.21V, so you're not going to get the ability to crank voltages for better clocks while keeping temperatures in check with water cooling. Honestly, I think in terms of actual overclock gains from watercooling, you're looking at 10-30Mhz at best just in gains from lower operating temperatures of the silicon. This might be a bit more of an amplified gain if we are discussing SLI and sandwiched air-cooled GPUs. I still think you are talking very minimal clock gains though.
I water cool mine purely for silence and aesthetics. I like building a cool looking system that is silent.