Escrow & Title

What is the purpose of a preliminary title report in a Nevada real estate transaction?

ATo provide the final title insurance policy
BTo reveal any liens, encumbrances, or defects in title before closing✓ Correct
CTo establish the property tax assessment
DTo confirm the property's zoning classification

Explanation

A preliminary title report (prelim) discloses any existing liens, easements, encumbrances, or clouds on title before the transaction closes, giving the buyer and lender the opportunity to address or negotiate any issues.

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