I need a little help with the phrasing in a purchase agreement;
specifically about a cloud on the title and lack of title
insurance\uninsurable title. I am selling a piece of vacant real
estate. The buyer is aware that the property has a clouded title. The
title is clouded due to a tax foreclosure years ago. The redemption
period for the previous owners has come and gone. So the buyer
realizes that the clouded issue can be easily cleaned up with a quiet
title action. The property is being sold to him at a very inexpensive
price, because he will have to spend a couple thousand to quiet the
title. My question is: in the purchase agreement, specifically under
the title insurance section, how can I word the PA so that the buyer
can NOT claim he was unaware of the clouded title? I want to include
this language, just in case for whatever reason one day the buyer comes
back to me and claims that he did not know about the cloud on the
title. Does anyone have any specific language I could use? I guess I
could just put down: "Buyer is aware that the title for this property
is uninsuarble. Buyer is aware that there are defects in the title,
including, but not limited to: a previous owner not paying his property
taxes and having the property foreclosed on by the State, then resold
by the State to another party. Buyer accepts the property and the
title "as is" without any warrantees from the seller of marketability
or insurability of title." Would something like this be sufficient, or
am I missing anything? Thank you.