Escrow & Title

When a North Dakota title search reveals an old unsatisfied mortgage from a previous owner, this is called a(n):

ALis pendens
BCloud on title✓ Correct
CAbstract deficiency
DEasement encroachment

Explanation

A cloud on title is any claim, lien, encumbrance, or defect that could impair or cast doubt on the owner's clear title. An old unsatisfied mortgage from a prior owner creates a cloud that must be resolved before closing.

Related North Dakota Escrow & Title Questions

Practice More North Dakota Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free North Dakota Quiz →