Should a real estate buyer always require a title search?
- December 1, 2020
- David Greene
- Comments Off on Should a real estate buyer always require a title search?
It is my legal opinion that one should never buy property without a title search. Even though the seller may be sincere in believing that his title is clear, there are several ways that he could be passing title to you that is not clear and marketable. One very obvious way is if the seller has a tax lien or any other type lien filed against him. That lien attaches to the property and if he sells that property, the lien stays with the property as long as it is not paid. Therefore, if you bought the property under that circumstance and then tried to sell the property to someone who did a title search, they would either back out of the deal or the IRS or other lienholder would have to be paid before the owner got any proceeds. As anyone can see, this would be a very bad deal. There are many different events that can put a “cloud on title,” meaning not a marketable title; and this is only one example. Thus, as I said, I always recommend a title search no matter from whom you are buying it or for what price. This even includes family.