In Maricopa County, "clear title" isn't always as clear as you think. Even if you are the only person on the deed, Arizona's unique laws can pop up at the last minute to complicate your sale. Here are the top 3 title defects we see in Phoenix.
1. The "Community Property" Surprise
Arizona is a Community Property state. If you bought the house in your name only, but you are married, most title companies require your spouse to sign a Disclaimer Deed. If they refuse, title officers typically presume your spouse owns 50% of the equity, which can prevent a sale from closing until resolved.
2. The Expired Mechanics Lien
A contractor put a lien on your house 2 years ago. In Arizona, mechanics liens generally expire after 6 months if no lawsuit is filed. However, title companies usually won't just ignore it. You often need to demand a "Release of Lien" or file a specific request to have it removed to clear the title for insurance purposes.
3. The "Wild Deed"
Did you inherit the house via a handwritten deed that was never recorded? In Arizona, an unrecorded deed is valid between you and the giver, but it is "invisible" to the public record. We often have to work with title officers to file a Quiet Title Action or corrective deeds to prove your ownership to the world.
We buy homes with clouded titles.
IMPORTANT LEGAL DISCLAIMER:
Homebound Offers is a real estate investment company. We are principal buyers, not attorneys, financial advisors, or licensed real estate agents. The information presented in this article is for educational purposes only and does not constitute legal, financial, or tax advice.
Real estate laws, including eviction, probate, and foreclosure statutes, vary by location and are subject to judicial interpretation. Every property situation is unique. The next step for any legal action should always be to contact a qualified attorney to review your specific circumstances. If you need a referral to a local professional, we may be able to provide a list of independent contacts.