What is Encumbrance?
An encumbrance is any claim, restriction or third-party interest registered on a property title — including mortgages, caveats, easements, covenants and statutory charges. A title search reveals all of them.
Why it matters for you
Some encumbrances (mortgages) are removed at settlement. Others (easements, restrictive covenants) stay attached to the property. Your conveyancer reviews every encumbrance and flags anything that limits your intended use.
Last updated: April 2026