Legal Question in Real Estate Law in California

Can a bank sell a house with a clouded title? Is this something they need to disclose? What recourse is there if the home is purchased without being told about the clouded title? Thank you!


Asked on 9/08/15, 4:35 pm

2 Answers from Attorneys

Without any idea what you mean by "clouded title," I can't really help you. A "cloud on title" is a vague term which can mean anything from something as serious as a forged deed in the chain of title, to something as meaningless as an omitted heir of a prior owner telling people in town that they have a claim to the property.

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Answered on 9/08/15, 4:48 pm
William Christian Rodi Pollock

I would suggest you start by determining whether you purchased a title insurance policy when you purchased the property. If so, and there is a problem with title, this is why you purchased the title insurance policy. Turn the problem over to them.

If you did not buy title insurance, you need the assistance of a real estate attorney, Your rights will be determined by the terms of the agreements and the disclosures in them.

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Answered on 9/08/15, 4:56 pm


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