What is a Torrens system?

The Torrens system is a method of land registration that provides for the state to hold and maintain official title records. It simplifies the process of transferring property ownership by providing a definitive and government-backed record of title. Under this system, an individual can have their ownership rights formally recognized by a government authority, which minimizes disputes over property rights and eliminates the need for a lengthy title search when transferring property.

This system is particularly beneficial for property buyers and financial institutions, as it offers assurance regarding the legitimacy of property titles. Once a title is registered in the Torrens system, it can provide a clear and direct path of ownership, greatly enhancing the efficiency and security of real estate transactions.

The other options presented, while related to property, do not accurately reflect the function or goals of the Torrens system. For instance, property taxation and assessing property value focus on financial aspects rather than title registration. Similarly, tenant-landlord agreements pertain to rental relationships, which fall outside the realm of property title registration that the Torrens system addresses.