Situational question on a warranty deed

[Jordan Archer]

Hey BP,

I'm trying to buy on auction. I want to make sure title is clear. I see that the last time the property was sold to the current owners (who are now losing the property to auction), a warranty deed was used. 

Does this pretty much mean that there is clear title on the property? 
If no, why?

Thanks,

Jordan

[Rick H.]

Nope. 

You'd like to think the warranty would give you clear title but at a foreclosure or similar auction, you're buying the right, title and interests that existed when the collateral was used for the loan. 

May not be an issue, but why risk it blind?

In essenence, you must do your own title research as once you buy it, you own it, including any problems associated.