Discovering encumbrances on real estate requires a systematic approach to ensure a clear title. These claims, often resulting from unpaid debts, can significantly affect ownership rights and transferability. For example, a contractor who performed work on a house and was not paid may place a mechanic’s lien on the property. Similarly, a judgment lien may arise from a court ruling against the property owner.
Determining the presence of such encumbrances is vital to protect potential buyers, lenders, and even current owners. A clear title guarantees undisputed ownership and simplifies future transactions. Historically, the process relied on manual record searches, but modern technology and centralized databases have streamlined the process, making title verification more accessible and efficient.
