What may be considered an example of a title defect?

Unpaid property taxes from previous owners can create a title defect as they may lead to liens against the property. A lien is a legal claim or right against a property, typically used as collateral to satisfy a debt, and in the case of unpaid taxes, the government has a right to collect those taxes. This situation can cloud the title, making it less marketable and potentially complicating the conveyance of the property to a new owner.

In contrast, a properly signed lease agreement typically does not affect the title of the property, as it deals primarily with the rights of the tenant and the landlord rather than ownership. Property improvements made by the current owner enhance the value of the property but do not in themselves constitute a defect; they generally signify that the property has been maintained or upgraded. A grant of easement recorded in public records is a legal right to use a portion of the property for a specific purpose and is a common aspect of property law, not a defect. While it can affect the usage rights of a property, it is not a flaw in the title itself.