AI is transforming real estate transactions, but it can't replace essential human work. Title professionals remain crucial for protecting property rights in an increasingly digital market.

The Big Picture AI tools are revolutionizing how real estate transactions get processed. Title companies across the country are investing heavily in automation, analytics and digital tools to make transactions more efficient. These technologies help manage increasingly complex regulatory requirements, detect fraud patterns and process large volumes of property data.

But a new study from the American Land Title Association reveals technology's limits. The research, conducted with ndp | analytics, shows that more than 80% of purchase transactions require reviewing at least 11 documents tied to a property's ownership history. More than one in five require examining over 50 records.

“AI can help identify potential risks faster, but it cannot negotiate a lien payoff, resolve a probate issue or correct a decades-old recording error.”

Why It Matters Those records include deeds, mortgages, tax liens, probate filings, easements and court judgments — often spanning decades of property history. Finding documents is just step one. Title professionals must analyze records, identify potential defects and resolve issues before property can transfer.

The study found that nearly 60% of transactions require clearing three to five title issues before closing. These range from unreleased mortgages and unpaid tax liens to errors in legal descriptions or gaps in the chain of title. Resolving these issues — known as curative work — often requires coordinating with lenders, courts, local governments and prior property owners.

Fraud prevention represents another growing responsibility. More than half of respondents reported spending at least 11 hours per month on anti-fraud measures, addressing risks like wire fraud, identity theft and forged property documents.

Fraud and forgery claims average more than $143,000, while refinance fraud claims average more than $207,000. This explains why title companies devote substantial resources to resolving issues before closing, and why approximately 70 cents of every title insurance premium dollar goes to search, examination and curative work.