Purchasing a car or a houseful of furniture is a pretty straightforward process. You hand over the cash or sign a loan document, and no will question that you own it. Buying a home is quite a bit different. You must go through the process of taking title.

A deed to a property is more than a document. It’s a concept that establishes the property owner’s right to own, enjoy, sell or transfer ownership within certain legal parameters – complying with Homeowner Association rules, for example, or with legal easements that allow a utility company or other entity to enter the property as required.

To get to the point where ownership is established, there must first be a title search performed, which is an examination by a title company to determine the property’s ‘chain of title.’

A title professional combs through public records to examine the history of ownership. The search is meant to ensure that the current seller has a legal right to sell the home and that there are no liens, personal property disputes or other encumbrances that could potentially cost the new owners a lot of money to remedy or in any way jeopardize their ownership.

This title search is not simply for the buyer’s peace of mind. If mortgage has been secured, the lender will require that that the buyer purchase lender’s title insurance to protect the lender’s investment should any title problems arise.

Once the title is determined to be clear, then, at closing, a transfer is made from the seller to the new owner. At this point, the purchaser has legal ownership of the home, and the title or escrow company will have the new deed recorded with the county assessor’s office or courthouse.

Typically, the new owners receive notification that the deed has been recorded within a few weeks after closing. If they don’t, they should check with the title professional who did the closing to be sure that the paperwork and other legal documents have been filed.

In simplest terms, if you hold title on a property, you own it. The deed is the legal document that officially transfers ownership of the property from its previous owner to the new one. As your title partner, we’re here to provide the best service possible, while guiding your clients through this process.

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This material is meant for general illustration and/or informational purposes only. Although the information has been gathered from sources believed to be reliable, no representation is made as to its accuracy. This material is not intended to be construed as legal, tax or investment advice. You are encouraged to consult your legal, tax or investment professional for specific advice.

About Bobbi Pronin

Bobbi Pronin is an award-winning writer based in Orange County, Calif. A former news editor with more than 30 years of experience in journalism and corporate communications, she has specialized in real estate topics for over a decade.

Bobbi is not an employee of Anywhere Integrated Services or affiliated with its title companies.