An encumbrance on a property can be defined as anything which places a legal ‘right' over the property, such as a mortgage, tax debt, an easement or some restriction on the use of the land.
Any encumbrance on a property should be listed on the property title and included in the contract. When buying a property, it’s always wise to ask your solicitor to check the contract for sale for encumbrances so you know exactly what you’re getting.