A preliminary title report shows what information?

The preliminary title report provides critical insights regarding the status of a property's title. One of the main functions of this report is to inform potential buyers about items that the title company would exclude from coverage if a title insurance policy is issued. This can include various liens, encumbrances, or other legal claims against the property that could pose risks to the new owner. Understanding these exclusions is crucial for buyers as it highlights potential issues they may need to resolve before completing the transaction or taking title, ensuring they are fully aware of any risks involved.

The other options, while related to property transactions, do not accurately represent the primary purpose of a preliminary title report. For instance, while property location information is useful, it typically falls outside the scope of the title report itself. Historical property sales could provide context for market trends but is not the focus of the preliminary title report, which is more concerned with current title conditions. Similarly, a current market value assessment involves different appraisal processes, separate from the title examination, which should be reviewed if buyers need an understanding of the property's worth.