Abstract Associates Title Search

A title search is a process that is performed to determine the answers to two questions.

Does the seller have a saleable interest in the property?

Do any liens exist on the property which need to be paid off at closing (mortgages, back taxes, mechanic's liens, or other assessments)?

A title report also shows any easements, or recorded legal rights to the property or portions of the property. For example, a previous owner may have legally given a neighbor the right to share the driveway, or the city may have a right to strips of the property for putting power lines, communication lines, water pipes, or sewer pipes.

In the United States, the buyer of a property will usually purchase title insurance, which protects the buyer from any title problems that may arise after sale (such as liens that were missed during the search). The title insurance company issues a report and issues an insurance policy in support of its findings.

A title search is also performed when an owner of a certain real property wishes to mortgage his property and the bank requires him to insure their transaction.

Generally, there are two main types of title searching, a full coverage search and limited coverage search; other types include non-insured reports and foreclosure guarantee search.