what does encumber mean in real estate

Best answer


Encumber means toburden with debts or legal claims. For example,an interest in real property may be encumbered by mortgages. When property is jointly owned,signatures of all owners is usually required to encumber the property. In a broad sense,encumber means to burben or impede.

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  • What does it mean to encumber a property?

  • For example, an interest in real property may be encumbered by mortgages. When property is jointly owned, signatures of all owners is usually required to encumber the property. In a broad sense, encumber means to burben or impede. Saying the best things without having expertise in these conversations proves difficult.

  • What is an encumbrance in real estate?

  • In real estate, an encumbrance means that a person, other than the owner of the property, has a claim on the property. A mortgage is an encumbrance. The owner of the property has pledged the property itself as collateral for the mortgage, and the lender has the right to foreclose on the property if mortgage payments aren’t made.

  • Is it legal to sell encumbered property?

  • It’s perfectly legal to sell encumbered property, but it may be more difficult. If the property value is less than the mortgage debt, few buyers are going to offer enough to pay off the mortgage. A buyer who can’t build what he wants because of the zoning may not be interested.

  • What happens if the land is encumbered?

  • If the land is encumbered, it’s not completely yours to do with as you will. Anyone with a financial claim on your property has an encumbrance. The classic example is your mortgage: a $200,000 mortgage encumbers your house with a $200,000 debt you have to pay back.

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