If you have had a lien on your property or are unfamiliar with liens, this post can help you understand them. Most specialists will discuss mechanics liens at length and from many perspectives. But now is the moment to sit back and review the fundamentals. What is a lien, exactly? Are there various kinds? Is there a lien on your house? This post will educate you on all there is to know about liens.
What Exactly is a Lien?
The term lien (pronounced lean) derives from the Latin term ligāre, which means “to bond.” The terminology “lien” indicates a charge against or interest in property to enforce payment of a debt or fulfillment of an obligation, according to US law (11 USC 101(37). A lien is created when a creditor or lender obtains an interest in some collateral, most commonly real estate.
A lien on a real estate asset effectively “clouds” the title to the asset.
Property Liens Categories:
Personal and real estate property are the two forms of property that liens can encumber. Property and any assets with a permanent attachment, such as a residence, are considered real property. Personal property pertains to movable assets, encompassing almost anything: automobiles, yachts, animals, equipment, etc. The following are two common forms of liens.
Liens on Mortgages: When a bank loans money to buy or refinance a property, a mortgage lien is a sort of voluntary specialized lien. Mortgages are “secured loans,” meaning a lien on the asset backs them. It implies that the debtor must put up security to protect the loan if they default on installments.
Liens on Property: Tax liens are unavoidable general liens imposed by federal or state law. If an individual or a business fails to pay state or federal taxes, the IRS or another government agency can place a lien on their assets for the amount owed.
Is there a lien on your house?
Accessing your county’s recorder portal and inputting your real estate address or PIN is the best way to see if you have a lien on your property. Since these are public information, it is not difficult to access them, and they’re free to view, though hard copies may cost a modest charge.
Selling Properties With Liens Quickly:
Your best bet here is to allow a reputable house buyer to assist you if you need to sell a home quickly with one or more liens and don’t know which way is up. They’d have years of experience navigating the maze of legal jargon and red tape, and they’d be able to properly guide you through the procedure.
These professionals deal closely with your creditors to suspend liens on your property temporarily so you can trade it for cash and clear your debt.
A reputable house buyer is a skilled negotiator who will negotiate with the lender on your behalf so that you don’t have to.
An ideal house buyer will readily purchase your concerned property quickly. They will also ensure a seamless experience and offer you a fair cash quotation.