I don't really see the right of redemption as a title problem.  The buyer would take title subject to the defendant's right of redemption, however if it is exercised the buyer would be paid back his purchase price.  If the buyer is made whole through the redeption, he has no loss and there is no claim on the title policy.  See Patrick Daly's blog - Title Insurance Doesn't Insure Good Title.

This doesn't mean that it is not something that can cause problems, however.  The buyer needs to be aware of this right of redemption, so he doesn't make substantial improvements to the property during the redemption period. 

Best,
Robert A. Franco
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