If it wasn't already noted above, some states also allow for a bonded title, where the cost of the bond is based on the value of the bike. When you are dealing with bikes this cheap and add the cost of the bike on top of the title fee and then the bond, you are back to square one as far as money and you would be in the same spot financially if you just bought a bike with clean title that didn't need this extra work.
I bought a bike with a title issue once (the bank screwed it up, not the seller) and although it was not a lost/missing title issue, never again will I buy a bike without clear title in hand.
I think the consensus here is that unless you or a family member work for DMV and you have connections, no-title bikes are almost never worth the trouble if your goal is to get a title. If all you want is a parts bike, then cheap no-title bikes are ok.
...And think about it this way, if getting a title were viable the current owner would have already done it and they are usually selling because they have already realized it ain't happening.