Editing Encumbrance (section)

{{Short description|Type of third party interest in property}}
An '''encumbrance''' is a third party's right to, interest in, or [[legal liability]] on [[property (law)|property]] that does not prohibit the property's owner from transferring [[Title (property)|title]] (but may diminish its value).<ref>Steven H. Gifis, ''Barron's Dictionary of Legal Terms'', 4th edn., s.v. "encumbrance" (Barron's Educational Series, 2008), 169.</ref> Encumbrances can be classified in several ways. They may be financial (for example, [[lien]]s) or non-financial (for example, [[easement]]s, private restrictions). Alternatively, they may be divided into those that affect title (for example, lien, legal or equitable charge) or those that affect the use or physical condition of the encumbered property (for example, restrictions, easements, encroachments).<ref>Fillmore E. Galay et al., ''[[Modern Real]] Estate Practice in Illinois'', 4th edn. (Chicago: Dearborn Real Estate Education, 2001), 107.</ref> Encumbrances include [[security interest]]s, liens, [[servitude in civil law|servitudes]] (for example, easements, [[English land law#Wayleaves|wayleave]]s, [[real covenant]]s, [[profit (real estate)|profits a prendre]]), [[leasing|leases]], restrictions, encroachments, and air and subsurface rights.