Title — Ownership Rights

Title is the legal right to own, use, and transfer property.

Title search: Examination of public records to verify ownership chain and identify liens, encumbrances, or defects going back to the original grant.

Cloud on title: Any claim, lien, or encumbrance that could affect title's validity. Must be cleared before sale.

Chain of title: The complete history of ownership from original grant to current owner.

Title insurance:

Lender's policy — protects lender; required by almost all mortgage lenders

Owner's policy — protects buyer; optional but strongly recommended

One-time premium paid at closing

Covers defects that existed BEFORE closing (unlike homeowner's insurance which covers future events)

Common title defects covered: Forged deeds, undisclosed heirs, errors in public records, unpaid taxes or liens from previous owners, boundary disputes.

Abstract of title: Condensed history of all recorded documents affecting the property's title.

Reference:

Wikipedia: Title (Property)

https://en.wikipedia.org/wiki/Title_(property)