Property Ownership

What is the purpose of a title search?

ATo determine the physical boundaries of the property
BTo examine public records and establish the chain of title to identify defects or encumbrances✓ Correct
CTo appraise the market value of the property
DTo ensure the seller has paid all property taxes

Explanation

A title search examines public records (deeds, liens, court judgments, encumbrances) to establish the chain of title and identify any defects, liens, or other issues that could affect ownership rights.

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