# Equitable Title Equitable title is the beneficial interest in property, encompassing the rights to possess, use, and enjoy it. It arises whenever ownership is split between a party who holds [[bare-legal-title|bare legal title]] and a party who holds the practical benefits of ownership — as when a trustor retains equitable title to real property after conveying bare legal title to a trustee under a [[deed-of-trust|deed of trust]], or when a buyer acquires equitable title upon executing a binding purchase agreement while the seller retains legal title until closing.