A legal blemish can refer to any item associated with the property that is viewed as a negative for potential buyers. Some good examples would include any sort of zoning violation that the property might have been cited for. Other examples include false title claims on the property. In more serious cases, this might refer to a mechanic’s lien or some other significant claim on the property. Some buyers would consider an easement to be a legal blemish that reduces the overall value of the property. Legal blemishes are important in the real estate world. When the market is competitive, many buyers will avoid those properties that have nasty legal issues. A legal blemish is something that sellers will have to disclose in order to fulfill their duty. Buyers may not necessarily stay away because of the presence of a legal blemish. It will not help the seller, though.
