What Is Absolute Title?
Absolute title (sometimes called perfect title or fee simple absolute) refers to an ownership interest in real estate that is completely pure. A property with absolute title has no mortgages, no liens, no easements, no restrictive covenants, and zero title defects. The owner holds total and exclusive rights to the property.
Absolute Title vs. Marketable Title
In modern Florida real estate, finding a property with true "absolute title" is virtually impossible. Almost every piece of residential real estate has at least minor encumbrances, such as a utility easement in gross allowing the power company to maintain lines, or subdivision deed restrictions.
Because absolute title is unachievable, Florida real estate contracts (such as the standard FAR/BAR contract) do not require the seller to deliver absolute title. Instead, they require the delivery of marketable title. Marketable title is title that is reasonably free from doubt and hostile claims; it acknowledges that minor, standard encumbrances (like utility easements) exist, but guarantees there are no severe defects (like unreleased mortgages or missing heirs) that would subject the buyer to litigation.
How Title Is Proven
Ownership of real estate is never taken on faith. To determine the quality of the title being conveyed via deed, a title search is conducted prior to closing. This search reviews the abstract of title to trace the chain of ownership and identify any encumbrances.
Because absolute title doesn't exist, buyers purchase owner's title insurance. The title policy explicitly lists the known encumbrances (the exceptions) and provides financial protection against any hidden defects that might threaten the owner's marketable title in the future.
Related Terms
- Marketable Title — The practical standard for real estate transfers
- Title Defect — Flaws that prevent title from being absolute or marketable
- Deed — The instrument used to transfer title
- Cloud on Title — Any claim that impairs absolute ownership
Barnes Walker Title Services
Barnes Walker's attorney-owned title company conducts rigorous title searches and issues title insurance to ensure buyers receive clear, marketable title at closing. Submit a title inquiry for assistance.
Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC