What is the purpose of a title search in a real estate transaction?

A title search is a critical step in a real estate transaction primarily aimed at verifying the legal ownership of a property and identifying any claims or liens that may be attached to it. This process involves examining public records to ensure that the seller has the right to transfer ownership and that there are no legal issues that could affect the buyer's ownership after the transaction is completed.

Understanding the legal status of the property is essential for buyers to protect their investment and to avoid potential disputes in the future. If claims or liens exist, they must be addressed before the property can be sold to ensure that the buyer obtains clear title to the property.

Market value determinations, structural assessments, and finalizing purchase agreements address different aspects of the real estate process but do not fulfill the specific and crucial function of confirming ownership and identifying encumbrances, which is the primary aim of a title search.