You might think a signed offer means you’re close to closing, but unresolved title issues can bring everything to a standstill. Before ownership transfers, the title must be legally clear. Even minor defects can put your transaction on hold.
Unpaid liens can cause significant delays
If there are outstanding liens, such as unpaid property taxes, contractor bills, or utility balances, the title can’t be cleared. Buyers won’t take ownership of debt-laden property. You or the seller must resolve all liens before proceeding. Even small amounts can delay final approval and disbursement of funds.
Boundary disputes impact legal ownership
Disagreements over property lines or encroachments can block a clean title. A neighbor may claim part of the land based on a fence or driveway placement. These disputes require surveys or court involvement, both of which delay the timeline. Until the rightful boundaries are confirmed, you can’t transfer full legal ownership.
Missing or incorrect legal descriptions matter
If the legal description of the property in public records doesn’t match the actual land or home, the title won’t be insurable. Errors in lot numbers, addresses, or metes and bounds can require legal correction. These issues are often discovered during title search and can take weeks to resolve.
Unknown heirs and probate complications
When a previous owner dies without a will or with unresolved probate, unknown heirs can emerge with legal claims. Until probate is finalized and ownership is legally transferred, no one can sell the property with a clean title. You’ll have to wait until the court resolves ownership.
Check title early to avoid disruption
Title issues can derail your timeline and cause major frustration. To prevent surprises, order a title search early in the process. Identifying problems upfront gives you time to fix them before closing. A clear title is the foundation of a valid real estate transfer.