Buying real estate in Greenville, South Carolina, can involve several important steps before a transaction reaches the closing table. One of those steps may be obtaining or reviewing a property survey. A survey can help identify the property's boundaries, improvements, easements, and other features that could affect ownership or future use.

Sometimes, however, a property survey reveals an unexpected problem. A fence may cross a boundary line, a driveway may extend onto neighboring property, or a building may violate an easement or setback. When a South Carolina property survey reveals a problem before closing, buyers and sellers should understand how the issue could affect the transaction and what options may be available.

What Can a Property Survey Reveal?

A property survey generally identifies the legal boundaries of a parcel and shows the location of structures and other physical features in relation to those boundaries. Depending on the property and type of survey performed, it may uncover issues such as:

• Boundary line discrepancies
• Fences or structures crossing property lines
• Driveways located partly on neighboring property
• Encroachments from neighboring buildings or improvements
• Recorded easements affecting the property
• Improvements constructed within easement areas
• Possible setback violations
• Differences between the property's legal description and its physical boundaries

Not every survey issue will prevent a real estate transaction from closing. However, some problems can create questions about ownership, access, financing, title insurance, or how the property can be used.

What Happens If the Survey Shows an Encroachment?

An encroachment occurs when a structure or improvement extends beyond a property boundary. For example, a neighbor's fence, shed, garage, or driveway could extend onto the property being purchased. Alternatively, a structure on the property being sold could extend onto neighboring land.

The significance of an encroachment depends on its location, size, history, and effect on the property. A small fence discrepancy may be handled differently from a garage or other permanent structure that crosses a boundary.

Before proceeding with closing, the parties may need to determine whether the encroachment can be resolved through an agreement with the neighboring owner, relocation of the improvement, an easement, or another legal solution.

Easements Can Also Affect a South Carolina Real Estate Closing

A survey may reveal an easement, which generally gives another person or entity certain rights to use part of the property. Common examples include utility, drainage, driveway, and access easements.

The existence of an easement does not automatically mean there is a problem. Many properties are subject to legitimate recorded easements. The concern is whether an existing improvement conflicts with the easement or whether the easement significantly interferes with the buyer's intended use of the property.

For example, a buyer planning to build a garage, pool, fence, or addition may discover that an easement restricts construction in the desired location. Understanding these restrictions before closing can help prevent expensive disputes later.

Can a Boundary Dispute Delay Closing?

Yes. A significant property boundary dispute in South Carolina may delay a closing while the parties determine the property's correct boundaries and how the problem should be addressed.

A discrepancy may arise because an older deed contains an unclear legal description, neighboring owners disagree about a boundary, or previous improvements were constructed based on an incorrect understanding of the property line.

Depending on the circumstances, resolving the problem could require reviewing deeds, plats, surveys, title records, and other documents. Additional discussions or agreements with neighboring property owners may also be necessary.

Can a Buyer Back Out After a Survey Problem Is Found?

Whether a buyer can terminate the transaction depends heavily on the terms of the South Carolina real estate contract.

Purchase agreements may contain provisions addressing inspections, title defects, due diligence, surveys, or other property-related

concerns. These provisions can establish deadlines for raising objections and may give a seller an opportunity to correct certain problems.

Buyers should avoid assuming that discovering a survey issue automatically gives them the right to cancel. Likewise, sellers should not assume that the transaction must proceed regardless of the problem. The contract should be carefully reviewed to determine each party's rights and obligations.

Can the Seller Fix the Survey Problem Before Closing?

In some situations, yes. The appropriate solution depends on the nature of the survey issue.

A seller might be able to resolve a problem by obtaining an agreement from a neighboring property owner, correcting documentation, removing or relocating an improvement, addressing a title issue, or negotiating different terms with the buyer.

The parties might also agree to extend the closing date while the problem is resolved. However, any changes to the transaction should be properly documented so both parties understand their responsibilities.

How Can Survey Problems Affect Title Insurance?

Survey issues and title issues can overlap. An undisclosed easement, boundary discrepancy, or encroachment may raise questions for the title company or closing attorney.

The effect on South Carolina title insurance will depend on the nature of the problem and the terms of the applicable title insurance policy. Certain survey-related matters may be excluded from coverage or require additional review before coverage is issued.

Because title insurance policies contain specific terms, exclusions, and exceptions, buyers should understand what their policy will and will not cover before closing.

Why Address Property Survey Problems Before Closing?

Closing on a property without resolving a known survey problem can create complications after ownership changes hands. A buyer could later encounter disputes with neighbors, limitations on future construction, access problems, or difficulty selling the property.

Addressing concerns before closing gives buyers and sellers an opportunity to evaluate the issue while they still have contractual options available.

It is also important to act promptly. South Carolina real estate contracts can contain deadlines for inspections, objections, title matters, and closing requirements. Waiting too long to address a survey issue may affect the options available under the contract.

Speak With a Greenville, South Carolina Real Estate Attorney

When a property survey reveals a problem before closing in Greenville, SC, the next step depends on the survey findings, title records, purchase agreement, and circumstances surrounding the property.

At E Scott Sanders LLC, we provide legal assistance to buyers, sellers, property owners, and others involved in real estate matters in Greenville and surrounding South Carolina communities. We can review real estate contracts and survey concerns, help identify potential legal issues, and explain the options available for moving the transaction forward.

If a boundary discrepancy, easement, encroachment, or other survey problem has appeared before your real estate closing, contact E Scott Sanders LLC to discuss your situation.