Rip off? Bathtub faucet leaks to a heavy stream

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My townhouse was built in 1979. My guest (single handle) bath faucet had a constant drip. A few months ago, I had a plumber fix the drip; however, I never used the shower/tub. This weekend, I had visitors and after they showered they could not get the hot water to completely shut off. The water was leaking out of the tub faucet and the more we played with it, the heavier it leaked, to a medium to heavy flow of water. Finally, I resorted to turning off the hot water at the electric water heater. I had new plumbers come in and they told me I would have to go buy a new tub/shower valve (est. $80-$150) and that they would cut into the tile and replace the piping (part of the supply control riser?) for $650. Then, I would have to hire someone to fix the tiles. I can't find any information on this on the internet. Is this all necessary for this leak? Or, am I being ripped off?? To make matters worse, my master shower backs up to the guest shower. The plumber said I may as well do both, once they are opening up the wall to do one.