“Clouds” on the title can make a property challenging to sell, so hopefully you won’t hear this real estate term during your transaction and on your title insurance report. Here’s what to know:
- A cloud on title refers to issues with the ownership or title of a property, making it difficult to sell, transfer or finance.
- To resolve a cloud on title, a title search is conducted to clear the cloud by paying off a lien or obtaining a release from a previous claimant.
- It’s crucial to address these potential clouds before finalizing a real estate transaction — your title company will perform a title search to ensure a smooth transaction.
Have questions about clouds on title? I’ve got you covered. Reach out today and I’ll clear up any mysteries around this area.
