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Can you sell a house with a defective title?
Yes, it’s legal to sell a house with a defective title. Standard mortgage lenders often refuse to fund the purchase though. A direct cash sale can complete without needing the title issue resolved first.
What counts as a defective title
A defective title means there’s a gap, error, or unclear point in the property’s official Land Registry deeds. A seller may have lived there for years without issue. A buyer’s mortgage lender still treats these gaps as a real risk to their security.
Common types of title defect
- Missing rights of way or access: your deeds don’t confirm a legal right to cross a shared driveway or private road. Lenders generally won’t fund a purchase without this.
- Absent covenants or missing deeds: gaps in historical paperwork leave old conditions unverified. Solicitors typically can’t sign off on this uncertainty.
- Restrictive covenant breaches: old deeds may forbid extensions or roofline changes. Work completed without the required consent creates a defect.
- Lack of good leasehold title: common in leasehold flats where the freeholder’s own root title can’t be produced or verified.
Why indemnity insurance often can't help
A Conveyancing Indemnity Insurance Policy is the standard fix for a minor title defect. These single-premium policies typically cost between £100 and £500. They protect the buyer and lender against a future loss linked to the defect.
There’s a significant catch, though. These policies become void the moment the council is contacted about the issue. If a solicitor requests old records or applies for retrospective consent, the council becomes aware of the gap. Insurers then refuse cover, leaving a seller without this option.
Your realistic options for selling
Properties with title defects regularly see traditional sales collapse partway through. A direct cash sale avoids this risk entirely. National Property Buyers can purchase the property as it stands, without needing the title issue resolved or insured first.
If you’d rather sell on the open market, choose a solicitor experienced in this kind of case. We work with a specialist conveyancing partner who regularly handles title defects. This firm pays us a £200 referral fee for each seller we introduce. This fee isn’t added to your own legal bill. You pay the same standard market rate. We disclose this in line with National Trading Standards and Solicitors Regulation Authority guidance.
Defective title FAQs
- Can I legally sell a house with a defective title?
The real challenge is finding a buyer whose lender will accept the risk, not a legal restriction on the sale.
- Will every buyer's lender refuse to fund a defective title purchase?
Most high-street lenders refuse, but not all. A cash buyer needs no lender approval at all, which is why direct sales often succeed where mortgage-backed ones fail.
- What's the difference between a defective title and missing planning permission?
A defective title is a paperwork problem at the Land Registry. Missing planning permission is a separate issue — see our dedicated guide.
- Does indemnity insurance always fix a title defect?
No, only certain defects qualify, and only if the council hasn’t already been alerted to the issue. Some title problems can’t be insured at all.
- How much does title defect indemnity insurance typically cost?
A single-premium policy typically costs between £100 and £500, depending on the specific defect and the level of risk involved.
- Can I still sell if my leasehold title can't be verified?
Yes, though it’s genuinely more complex. A direct cash sale can often proceed without the freeholder’s root title being confirmed first.
If you’re dealing with a title issue that’s stalling your sale, contact us today for a fast, fair cash offer.
He and his team specialise in the sales that often stall on the open market. This includes inherited estates, sitting tenants, home repossessions, and broken chains.
Rather than general market theory, their insights come from 700+ real-world transactions. The team draws on deep, current knowledge of the legal landscape to clear away hurdles that delay property sales. Their goal is to provide transparency and certainty, helping homeowners secure a fast, fair way to move on.
Get your free no-obligation offer
Your details remain completely confidential. No obligation. No spam. Ever.
Data Protection Registration Number ZB708424