An encumbrance is any claim, lien, charge, or restriction that affects the title, value, or use of real property.

• Does not prevent ownership, but may limit rights
• Can affect value, marketability, or use
• May be monetary or non-monetary
• Often discovered during a title search

• Liens
  • Monetary claims against property
  • Examples: mortgages, deeds of trust, tax liens, mechanic’s liens

• Easements
  • Right to use another’s land for a specific purpose
  • Examples: utility easements, right-of-way

• Encroachments
  • Unauthorized physical intrusion onto another’s land
  • Examples: fences, driveways, overhanging structures

• Restrictions
  • Limitations on use of property
  • Examples: CC&Rs, zoning laws, deed restrictions

• Voluntary Encumbrances
  • Created by the property owner
  • Examples: mortgage, easement granted by owner

• Involuntary Encumbrances
  • Imposed by law or court action
  • Examples: tax liens, zoning, eminent domain

• Payment or satisfaction (liens)
• Release, reconveyance, or expiration
• Agreement or legal action (encroachments, easements)

• Encumbrances affect title or use, not possession
• Not all encumbrances are liens, but all liens are encumbrances