What is the purpose of a title search warranty and what does 'perfecting title' mean?

• A. A title search warranty protects against defects found.
• B. A title search warranty does not protect against defects.
• C. 'Perfecting title' means creating a title that is more marketable.
• D. 'Perfecting title' means resolving defects to ensure clear title.

Answer: (D)

In real estate, a title search warranty is about ensuring the buyer ends up with a title that can be transferred free of unresolved problems. The purpose is to back up the process of addressing any issues that could cloud ownership, so the title can be perfected.

Perfecting title means actively resolving defects or encumbrances—such as paying off liens, releasing claims, or quieting clouds on the title—so the owner has a clear, defensible, marketable title. It isn’t about merely making the title seem more marketable; it’s about removing defects that would prevent a clear title from existing.

So the best description is that perfecting title involves resolving defects to ensure clear title.