Oregon 30-Hour Real Estate Law Practice Test

What best describes an attorney title opinion?

1. A summary of property taxes owed

2. A statement on the property's value

3. An opinion on the status of the property's title

4. A report on zoning compliance

The correct answer is: An opinion on the status of the property's title

The attorney title opinion is best described as an opinion on the status of the property's title. This means that the attorney reviews the title documents, conducts research to determine the current ownership, checks for any liens or encumbrances, and assesses whether the title is clear or if there are issues that need to be addressed before a transaction can proceed. This opinion is critical in real estate transactions as it provides assurance to the parties involved, particularly the buyer, regarding the legitimacy of the ownership and any potential legal claims against the property. The attorney may also provide recommendations for actions to take if any issues with the title are identified. In contrast, a summary of property taxes owed would focus on the financial obligations associated with the property, while a statement on the property's value pertains to market appraisal rather than legal status. A report on zoning compliance concerns land use regulations and does not directly address title ownership or issues. Each of these focuses on different aspects of real estate, but the attorney title opinion specifically analyzes title integrity and legal ownership, making it the most accurate description.