Identification

• A title search is an investigation of a property's history and current status. The contents of a title search are composed into a document called a title report or preliminary title report.
  
  

Function

• Title searches are conducted by title and escrow companies, real estate companies who specialize in searching, analyzing and transferring property status and title.
  
  

Rationale

• The most common reason a title search is done is to verify ownership of a property and discover and disclose claims on a property such as liens and mortgages. This is most often done when a property is being sold or refinanced.
  
  

Significance

• A title search typically reveals who owns a property and how the title is held, the legal description of a property, liens and mortgages attached to a property, exceptions and other interests, such as easements and membership in the home owner's association.
  
  

Benefits

• A title report and clear title is guaranteed by the issuance of a title insurance policy, which ensures a property owner that no one else has any legal claim on a property. A title report can also make a buyer aware of conditions on a property, such as easements for public services or leased mineral rights, that can influence a purchase decision.
  
  

Expert Insight

• Many title companies will work up a preliminary title report for a small fee or even for free for established customers. This can be a good way to "preview" a property for any potential problems before making an offer.