In today’s hot real estate market, many homeowners in Georgia are eager to sell their homes and hopefully reap a substantial profit. However, the sales process can come to a halt if a title search uncovers a defect on the title. In such situations the homeowner may need to file a quiet title action.
What is a title defect?
A title defect exists when a third party purportedly has a legal claim on a piece of property or a title is otherwise unclear. This claim may be in the form of a lien, mortgage or judgement. Defects can also take the form of typos, inconsistencies and vague language in the title itself. A home with a defective title cannot be sold until the defect is cleared. If a person tries to sell a home with a defective title they could face liability for any damages or could lose the title entirely.
What is a quiet title action?
A quiet title action is a type of lawsuit that establishes ownership of real estate when there is a defect on the title, ensuring there is only one owner of the title. If the homeowner prevails in the quiet title action, no further claims to the title can be made. Note that a title search may not necessarily uncover all title defects.
Learn more about real estate litigation
Real estate litigation in Georgia can be complex, especially for those who do not have experience in such matters. If there are defects on a title it is important that they are cleared so the homeowner has the legal authority to sell the house. Our firm’s webpage on real estate litigation may be of interest to those who need to pursue a quiet title action.