Q: Is it legal for an agency to list a property if it does not have a clear title? In Illinois
Family have obtained loan, paid over $1000 in fees and the day before closing the title company says the title is not clear and the house can’t be sold. Shouldn’t the listing agency have known this? This is in Harrisburg,IL not Johnston City
A: The listing agency typically has no way to know this until they receive a copy of a title commitment. A title commitment often lists problems with title which the seller's attorney clears up, if possible. Alas, not every seller hires an attorney so there is no one to clear up the problems. Alas again, not every title problem can be solved before a scheduled closing.
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