Attorney's Opinion of Title

What is an attorney's opinion of title?

Choose the correct statement:

(a) It guarantees the title.

(b) It guarantees the authenticity of the documents.

(c) It is the same as title insurance.

(d) It is rendered after an examination of an abstract.

Answer:

An attorney's opinion of title is rendered after an examination of an abstract (option d).

An attorney's opinion of title is a professional assessment provided by an attorney after reviewing the abstract of the title of a property. This opinion is not a guarantee of the title itself or the authenticity of the documents related to the property.

Unlike title insurance, an attorney's opinion of title does not provide financial protection against potential issues with the title. Instead, it is based on the attorney's examination of the title history and any possible concerns, such as outstanding liens or easements.

It is important to note that an attorney's opinion of title is a crucial step in the real estate transaction process as it helps identify any title defects or problems that may need to be resolved before the property can be transferred to a new owner.