Colorado Sales License Practice Test 2026 – Your All-in-One Guide to Passing the Exam!

Question: 1 / 400

What is a title search?

An assessment of property taxes owed

A review of the property's rental history

An examination of public records regarding ownership and liens

A title search is an examination of public records regarding ownership and liens associated with a property. This process is crucial when buying or selling real estate, as it helps determine who legally owns the property and identifies any outstanding liens or claims against it. By reviewing documents such as deeds, court records, and tax information, a title search ensures that the seller has the legal right to sell the property and that the buyer will receive clear ownership without any unexpected legal issues.

This thorough investigation protects both buyers and lenders from potential disputes or financial losses that may arise from unclear ownership or unresolved claims. Therefore, the function of a title search is foundational in real estate transactions, establishing the legitimacy of the title and the property's history, which is essential for a smooth transfer of ownership.

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A physical inspection of the property

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