Perfect Title

AAA

DEFINITION of 'Perfect Title'

A title deed for real estate that does not have any liens attached to it. A perfect title becomes so after all liens or other defects have been removed. Perfect titles stand in contrast to quiet titles or cloud on titles.

Perfect titles can also sometimes be referred to as "good titles."

INVESTOPEDIA EXPLAINS 'Perfect Title'

Most properties are bought and sold with perfect or good titles. It is often necessary to perform a title search to find out the past owners of a property to make sure no other interests in the property exist. Perfecting a title is the process of clearing all prior claims on a title to allow for its sale or assignment.

RELATED TERMS
  1. Mortgage

    A debt instrument, secured by the collateral of specified real ...
  2. American Land Title Association ...

    A trade association representing the title insurance industry. ...
  3. Abstract Of Title

    A brief history of the titles for a piece of land. The abstract ...
  4. Deed

    A legal document that grants the bearer a right or privilege, ...
  5. Lien

    The legal right of a creditor to sell the collateral property ...
  6. Real Estate

    Land plus anything permanently fixed to it, including buildings, ...
Related Articles
  1. 10 Hurdles To Closing On A New Home
    Insurance

    10 Hurdles To Closing On A New Home

  2. Holding Titles On Real Property
    Retirement

    Holding Titles On Real Property

  3. Understanding Your Mortgage
    Personal Finance

    Understanding Your Mortgage

  4. Housing Deals That Fall Through
    Options & Futures

    Housing Deals That Fall Through

comments powered by Disqus
Hot Definitions
  1. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  2. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  3. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  4. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  5. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  6. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
Trading Center