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rk0166 · Oct 17, 2007, 04:02 AM

I am selling property and the owners are doing a title search to search for any leins on my property.Would I have not have had to go to court , wouldn't I be aware if there was a lien on my property? How does someone put a lien on anothers property? Please explain the process. Thank you

ScottGem · Oct 17, 2007, 06:08 AM

Depends on the nature of the lien. But usually you would know. If the lien is for secured debt it would have been placed when you signed for the debt. For example your mortgage is a lien on the property, so would a home equity loan. If you default on an unsecured debt then the creditor would have to sue you and obtain a judgement, then ask the court for an order to place a lien against the property. Generally, though personal residences are exempt from this. Another possibility is a mechanics lien. If you had someone do repairs on the house and didn't pay they could file a lien for the bill.

But the title search is not just to find liens, its to insure that the seller has clear title to the property and con convey that title to the buyer. Its really SOP for a buyer to do this.

pacific nw · Oct 17, 2007, 10:02 PM

Personally, I wouldn't buy a house without a Title Report.

Things I've run into when buying houses:

IRS liens (seller said they didn't know that was there)
Child Support Liens
HELOC loans (seller forgot to tell me about)
Judgement Liens from unpaid credit cards
A wife who had partial ownership that the seller forgot to tell me about
An ex-husband who had a claim against the property that the seller forgot to tell me about
Utility liens
Unpaid Property Tax liens

Yep, there are more, but I think you get the picture.

I agree. Title Reports are Standard Operating Procedure for anyone wanting to avoid a tangled mess. Besides, if you have nothing to hide, "no worries, mate!"