An encumberance on the title to land or property is any interest -- legal or equitable -- that detracts from the owner's ability to enjoy the land or property without hinderance. Encumberances range from a long lease made out of the property, to an easement preventing the obstruction of light to other buildings. A prospective purchaser will be interested in such things during the investigation of title.
www.kevinboone.com/lawglos_encumberance.html

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Note added at 2004-03-03 13:29:13 (GMT)
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also: charge, lien
The term \"owner\" includes the registered owner and any person who has any estate or interest in the land, or any lien, charge, mortgage or encumberance on the land, and any per-son in actual occupation of the land...\" That definition can include many people, so the importance of properly defining the interest to be appraised is heavily underscored.
http://www.aicanada.ca/e/articles/an_appraisers_role_in_expr...