Warranty of Title
Candlefocus EditorThe Warranty of Title is essential to ensure that the property has not already been sold or encumbered in any way, such as by having a lien or mortgage on the property. If a title has already been transferred, the Warranty of Title will provide protection to the buyer in case any claims against the title arise in the future. The Warranty of Title also ensures that the seller has the legal right to sell the property and is not in breach of any contract or other legal obligations.
The Warranty of Title is also important to provide peace of mind to the buyer. As a buyer, you want to be sure that you are buying a property with a clean title, without any potential complications or obstacles down the road. The Warranty of Title offers assurance that the seller has the legal right to transfer the title to you and the property is free from any issues that could complicate the process.
The Warranty of Title can be included in the purchase agreement, and it should be done in writing. The landlord should have a copy of the Warranty of Title as well as the buyer. The Warranty of Title should include a full disclosure of any facts or claims against the title of the property. This should include any liens, mortgages, or judgments that may be attached to the title.
Once the Warranty of Title is signed and accepted, it must be honored and upheld by both parties. This means that once the seller sells the property, they are legally responsible to the buyer and their legal representatives if the title has any issues or complications down the road. The Warranty of Title is an important feature to have, and it should always be included when purchasing a property.