Types of Real Property Encumbrances
An encumbrance is any claim, lien, or restriction that affects the title to real property. Florida real property may be subject to multiple encumbrances simultaneously, each of which affects the owner's ability to use, sell, or finance the property.
Financial Encumbrances (Liens)
- Mortgage liens: The most common encumbrance; secures repayment of a home loan
- Judgment liens: Arise from court judgments against the property owner
- Tax liens: Federal, state, and local tax obligations secured by the property
- Mechanic's liens: Claims from contractors and suppliers for unpaid work or materials
- HOA/condo assessment liens: Unpaid homeowner or condominium association fees
- Code enforcement liens: Municipal fines for building code violations
Non-Financial Encumbrances
- Easements: Rights of access, utility, or drainage across the property
- Deed restrictions: Covenants limiting the property's use (building height, land use, architectural standards)
- Zoning regulations: Municipal rules governing permitted uses and development standards
- Encroachments: Structures extending across property boundaries
- Lis pendens: Recorded notice of a pending lawsuit affecting the property
- Environmental liens: Claims related to contamination cleanup obligations
Priority of Encumbrances
In Florida, encumbrances are generally paid in order of recording priority (first recorded, first paid). Property tax liens and special assessments typically have super-priority over all other encumbrances, regardless of recording date.
Related Terms
- Encumbrance — Core definition
- Easement — A common non-financial encumbrance
- Equity — The owner's value after all encumbrances
Barnes Walker Title Services
Barnes Walker Title identifies all encumbrances during the title search and coordinates their resolution for clean closings across Southwest Florida. Submit a title inquiry for assistance.
Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC