Escrow & Title

In New York, 'marketable title' means title that is:

AThe highest price that could be obtained for the property
BFree from reasonable doubt as to its validity and not subject to encumbrances or claims that would cause a reasonably prudent buyer to reject it✓ Correct
CTitle that has been insured by a title insurance company
DTitle that has been reviewed by an attorney

Explanation

Marketable title in New York is title that is free from reasonable doubt — a prudent buyer would accept it, and a prudent attorney would advise the client to accept it. Title does not have to be perfect to be marketable, but it must be free from encumbrances or defects that would expose the buyer to litigation or that would make the title unmarketable.

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