Common Title Issues That Can Delay a Closing

You’ve found your dream home, the offer has been accepted, and everything seems to be going smoothly—until suddenly, your closing gets delayed. One of the most common culprits? Title issues.

Even with a thorough title search, certain problems can arise that complicate or stall a real estate transaction. Here are the most common title issues buyers and sellers may encounter—and why resolving them matters.

1. Unknown Liens

Previous owners may have left behind unpaid debts, such as property taxes, utility bills, or contractor fees. If a lien exists on the property, it must be cleared before the sale can move forward. Title insurance helps protect against any that aren’t found during the initial search.

2. Errors in Public Records

Clerical mistakes—such as a misspelled name or incorrect property description—can result in discrepancies that delay the closing process. These errors may require legal documentation or a correction filing to resolve.

3. Illegal Deeds or Missing Heirs

If a past deed was executed by someone not legally authorized (e.g., a minor or someone of unsound mind), or if a rightful heir later emerges to claim ownership, it could raise red flags for lenders and buyers. These issues can take time (and sometimes legal intervention) to sort out.

4. Boundary or Survey Disputes

Conflicting property lines between neighbors, or outdated or missing surveys, can throw off a sale—especially if there’s a disagreement about fences, driveways, or shared land.

5. Forgery or Fraud

Unfortunately, forged signatures and fraudulent transfers do happen. Title insurance offers a layer of protection against financial loss from these rare—but serious—situations.

What Can You Do?

• Work with a trusted title company (like MBS Title!) that thoroughly reviews the property’s title history.

• Invest in title insurance to shield yourself from financial risk.

• Start early—the earlier a title search is done, the more time you’ll have to resolve any issues.

A smooth closing starts with a clean title. If you're buying or selling real estate, don’t overlook this critical step in the process.