What Is A Property Lien?
Tax liens are another common issue. A homeowner may have fallen on tough times and owes back taxes to the IRS, New York State, or a local municipality. Once these liens are filed with the Clerk, the liens attach to the debtor’s real estate and must be paid off or resolved before the property can be sold.
Money judgments against a homeowner resulting from a lawsuit or settlement that are filed with the County Clerk also become a lien on the property and must be addressed prior to the closing.
Mechanics liens are liens that contractors can file with the County Clerk in the land records when they perform work on a property, but the homeowner does not pay the contractor for its services. These liens must be addressed if they are identified on the title report.
Often, a homeowner may be able to negotiate a reduced payoff from the creditor or lien holder. Your real estate attorney may be able to assist you with these communications and negotiations with any lien holders. If you are planning to sell your home and you are aware of any liens or potential liens on the property, it is smart to contact your creditors and begin negotiating reduced payoffs well in advance of the contract or the closing. Your Purchaser may not be willing to sit out a long and uncertain process for a home whose title is muddied. Tackling these issues early should help ensure that these liens will not cause any delays or issues and help you get to the closing table as soon as possible.
For more information on Lien Against A Property In New York, an initial consultation is your next best step. Get the information and legal answers you are seeking by calling (800) 619-3570 today.
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