The purpose of an affidavit of title is to disclose any known liens, encumbrances, or claims against the property. It verifies that the property is free and clear of any legal issues that could potentially affect the buyer’s ownership rights.
The affidavit of title typically includes information such as the property’s legal description, the seller’s name, and a statement affirming the seller’s ownership of the property. It may also disclose any mortgages, easements, judgments, or other recorded documents that affect the title.
By signing the affidavit of title, the seller is declaring that they have the legal authority to sell the property and that there are no undisclosed claims or defects in the title. However, it’s important to note that the affidavit of title is based on the seller’s knowledge and may not uncover hidden or unknown title issues.
The buyer relies on the affidavit of title to make an informed decision about purchasing the property. However, it is still advisable for buyers to conduct their own due diligence, such as obtaining a title search or title insurance, to ensure the property’s title is clear and marketable.
An affidavit of the title helps provide transparency and protection for both the buyer and the seller in a real estate transaction. It helps establish confidence in the transaction and provides a legal basis for the transfer of ownership rights from the seller to the buyer.