Property title search explained

The word “title search” refers to the process of examining public documents to establish and confirm the legal ownership of a property. Deeds, tax liens, property records, and court judgements, among other things, are used to do title searches. People and businesses can arrange searches at any time to find out what, if any, claims or liens exist on the property in question. Searches are often performed by title firms, although they can be undertaken by individuals and corporations at any time. Any real estate transaction must be completed with a clear title. If a title search reveals a lien on the property, the transaction cannot be finalized.

Property title search process

A title search establishes if a piece of property has a clear title or if it has liens or other flaws that prevent it from being transferred between parties, such as public record mistakes. The procedure is typically used in real estate transactions, such as the purchase and sale of residences, as well as the purchase and sale of autos.

A title search is generally done on behalf of a prospective buyer who wants to make an offer on the property by a title business or an attorney. A lender or other institution may commence the procedure to verify property ownership and establish whether there are any claims or judgements against the property. Before approving a loan or other credit that uses the property as collateral, this procedure is usually followed.

The asking organization performs research utilizing public records and legal papers to determine the vested owner, liens or other judgements on the property, loans on the property, and property taxes outstanding in order to complete the search.

While it is conceivable for a potential buyer or another individual to perform their own title search, it is not encouraged. Legal paperwork may be perplexing, and obtaining access to judicial records can be challenging.

Types of a property title search

Dirty Title vs. Clean Title

A title search verifies a property’s legal ownership and determines if the property is subject to any claims. A clean title demonstrates sole possession of a piece of property or land, whereas a filthy title suggests that the property or land is shrouded in doubt or disrepute.

Title search results that might result in a filthy or defective title designation include erroneous surveys and unsolved building code infractions. Unknown liens, for example, might be attached to a soiled title. When it came time to register the title, a file clerk at the county office might have misspelt or misapplied certain information.

Benefits of a property title search

• A basic owner’s title insurance policy typically covers the following hazards: Another party’s ownership, forgery and fraud involving title papers, as well as incorrect signatures on documents.
• It only takes 10 to 14 days to perform a title search. 
• You may do your own title search.