Closing issues

There is a myriad of things that can occur to prevent a clean real estate transaction. Therefore, it is essential to be aware of potential problems to avoid delays.

Easements and encumbrances are among the most prevalent issues that can stop a closing. Unfortunately, easements and encumbrances are often overlooked and not disclosed to the buyer when contracting to sell a property. Understanding the difference can ensure a smooth transition. An easement allows another party the right to use your property. The most common easement enables the government to work on utilities on your property or children to walk across a parcel of land to reach school. Easements fall under the encumbrance umbrella and include deed restrictions, encroachments, and licenses, preventing clear title.

Disputes over property rights for issues calling into question boundary lines when a survey is questioned. Continuing with closing if there is an existing dispute puts the owner’s claim over the portion of the property in question at risk.

Be sure that there aren’t any possible claims to the property through a will. The discovery of an unknown choice after the conveyance of property puts the buyer’s claim to the property at risk. In addition, the property can pass from one generation to the next when the owner dies. If one of the heirs is not located before the transference of the title, they can later challenge the sale and claim entitlement to the property.

Impersonation and forgery are two other factors to consider during a property closing. Prior sales of a property involving the impersonation of the owner creates an illegal transfer of title and can prevent the sale from closing whether the current owner was aware of the impersonation or forgery.

Deeds, liens, and title errors can create havoc when closing on a property as well. If the deed was signed by someone under 18, by an illegal alien, or someone deemed to be unfit, the title can be called into question. An unsatisfied lien on a property by a prior owner can also prevent clear title, as the lienholder has rights that must be satisfied before the closing can occur. Even errors in a title can hold up the closing because if it goes through, it can bring into question the chain of title. Something as simple as a misspelled name or transposed house number can require expensive legal work to remedy the situation.

It is always better to ensure any questionable title issues are resolved before closing. Once you have closed on the property, you are now legally responsible for adhering to the property lines, easement rights, and even loss of property due to unclear title.

Licensed Florida attorneys founded Fleet Title to bring high-quality, fast, and efficient title services to the residential and commercial real estate markets throughout the State of Florida. Our attorneys have closed real estate transactions for over 25 years. At Fleet Title, you will benefit from our experienced attorneys at the cost of a title agent. To learn more about the services offered, visit fleettitle.com, call (772) 224-3338, or email them at info@fleettitle.com.