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Filed by Homeowners Associations for unpaid dues or assessments. 2. How to Search for Liens
Filed by the government (IRS or state) when property or income taxes go unpaid. Filed by Homeowners Associations for unpaid dues or
Alex was ready to sell his starter home. He found a buyer, agreed on a price, and was weeks away from closing when his real estate agent called with bad news. A title search had uncovered a "cloud" on the title: an active mechanic’s lien . Alex was ready to sell his starter home
Alex soon realized the power of a lien. Because it was a public record attached to his property, he could not provide a "clean title" to his buyer. No bank would approve the buyer’s mortgage while the lien existed, effectively freezing the sale. The Resolution To save the sale, Alex had a few options: Alex soon realized the power of a lien
A lien is a legal claim on an asset—usually a home or car—to secure the repayment of a debt. 1. Common Types of Liens
Alex chose to pay a negotiated settlement. Once the supplier filed a with the county recorder, the "cloud" vanished, and the sale proceeded. What You Need to Know About Liens
He could pay the supplier directly to have the lien released immediately.