Absolute title

Absolute title
See also


Absolute title is also known as perfect title. It is a title to a property that is free of any liens, judgments, attachments. The person that has absolute title possesses the unequivocal right of ownership[1].

If you plan to buy real estate it is desirable to perform a title search in the specialized agency. That allows to find any problems regarding to the title. The most common problems are[2]:

  • remaining taxes,
  • a spouse that holds part of property,
  • mortgage.

The absolute title gives the owner additional rights[3]:

  • lease property
  • rent property
  • mortgage

Buying property without absolute title is risky and can lead to loss of money as well as the property[4].

Ownership in real estate

Ownership in real estate brings with it a wide range of rights. When a person owns property in the form of ordinary remuneration, she has the highest and best property ownership form. Among the rights invested in a fee simple absolute owner are the right to sell, mortgage, give away, and otherwise encumber the property. Traditionally, there were two subclassifications of a simple absolute title. These include a simple fee to be determined and a simple fee on subordinate terms. There are two restrictions on the fee, a simple absolute title is based on limiting the use of real estate. In modern real estate practice, you rarely see them. A person can also receive a life estate in real property. A person who has a life estate has the right to use and enjoy the property, but only as long as she lives. After the death of the tenant, the title of ownership is automatically transferred to a predetermined person, referred to as a remainderman[5].

References

Footnotes

  1. Dixon, M., Lees, E. (2014) Q&A Land Law Routledge
  2. Dixon, M., Lees, E. (2014) Q&A Land Law Routledge.
  3. Dixon, M., Lees, E. (2014) Q&A Land Law Routledge
  4. Dixon, M., Lees, E. (2014) Q&A Land Law Routledge
  5. Neal, R. Bevans (2008). Real Estate and Property Law for Paralegals Aspen Publishers Online. (p. 39-40)

Author: Anna Mrajca