A vehicle title search is important for several reasons, it is especially vital when shopping for a used vehicle.

By conducting a title search, you can verify that the seller has a legitimate right to sell the vehicle and may help prevent you from buying a vehicle with undisclosed legal entanglements. A title search may help to protect you from falling victim to such fraud.

A vehicle title search may identify outstanding liens on the vehicle. Most commonly this could mean that the current owner still owes money to a lender. The search may also identify mechanics lien and outstanding debts. A mechanic's lien is a legal claim that allows a mechanic or repair shop to retain ownership of a vehicle until the owner pays for services or repairs performed on the car. If the debt isn't settled, the lienholder has the right to take possession of the vehicle and sell it in an attempt to recover on the debt. It is highly advisable for pre-owned vehicle buyers to steer clear of vehicles with mechanic liens as they pose additional legal complexity and risk in the legal ownership and vehicle registration process.

The report may also reveal if the vehicle has been involved in major accidents, floods or other incidents that may affect its safety and value. In cases where the vehicle has been declared a total loss by an insurance company and subsequently repaired the vehicle history report may also identify the title brand such as salvage, rebuilt, TMU (Total Mileage Unknown), Theft Recovery and more... In addition, a title search can alert you if a vehicle has been reported as stolen. Buying a stolen vehicle can lead to legal issues and the loss of the vehicle without compensation.