Can a house be sold if there is a lien on it?

Answer 1

Not necessarily. A lien is for a debt which is secured by the property. It might be for a loan the owner got, or it might be for work done by a contractor who wasn't paid (mechanic's lien). If the debt is in default, then the property might be subject to being sold to raise money to cover the debt (the property owner would keep any proceeds over the amount of the lien). Or, the lien may simply lie dormant until the owner wants to sell, and hinder the sale until it is satisfied.

In Texas, if the home is your Homestead. It cannot be taken from you whether or not you have a lien unless that lien is a Mortgage lien or property tax lien. If it is a Mechanic's Lien, meaning that there was work done on the property and the debt is unpaid, that person may file a lien of the property. In this case, if and only if you are selling the property, must the lien be satisfied. In some cases the person who performed work on the property my sue for the balance which may result in your having to sell the property to satisfy the lien. When you close on the property at a Title Company, all liens are paid before clear title can be transferred.

In either of the aforementioned scenarios the lien will be satisfied.

In general, the homestead of an individual is safe from any creditor unless it is for mortgage default or for failure to property taxes of any kind which in some cases also includes Home Owner Association dues.

Answer 2

A lien on a property usually means that when the property is sold, the lien holder gets his money before the owner gets a penny. Back taxes get paid first, then liens get paid, and finally the owner.

Answer 3

If the debt isn't paid the creditor may seek to have the property seized and sold. Generally the lien just sits there on record and must be paid before the property can be mortgaged or sold.

Answer 4

The lien must be paid from the proceeds of the sale.

The lien must be paid from the proceeds of the sale.

The lien must be paid from the proceeds of the sale.

The lien must be paid from the proceeds of the sale.

Answer 5

Not necessarily. It does mean that the property cannot be sold, refinanced or transferred while the lien is in force without the consent of lien holders. In some U.S. states a judgment lien holder can request a forced sale of a primary residence. However, the process is time consuming, complicated and generally not cost worthy therefore it is rarely implemented.

Please be advised, that liens against surviving spouses are not usually valid if said spouse is not the named debtor and did not reside in a community property state at the time of death of his or her spouse. Anyone who has had real property encumbered by a lien(s) should always determine if it is indeed a valid action.

Answer 6

Generally, and depending on the type of lien, you don't have to sell your property if a creditor records a lien. However, you cannot refinance or sell the property without paying the lien. Interest accrues the longer a lien remains unpaid. If the amount is substantial enough the creditor can obtain an order to sieze and sell the house to recoup the amount owed plus costs and interest.

Answer 7

The answer is no. One cannot sell or rent the property if there is a lien on it. The law says only property can be sold if owner removes the lien on his property.

Answer 8

Yes, but the lien has to be satisfied with the proceeds from the sale. Or the buyer has to accept the lien, not always allowed.

Answer 9

The lien must be paid from the proceeds of the sale.

Answer 10

is furniture real property for a lien