If you’re selling a piece of land in North Florida, you can only do so if there are no liens against it. Several entities can put a lien on your property, and chances are if there’s a lien on yours, you already know about it. However, here’s a quick run-down on who can put a lien on your property.
Related: Buying land? Make sure there are no liens against it.
Who Can Put a Lien on Your Property?
A lien on your property tells other people that you owe a creditor money. Before you can sell the property, you’ll have to pay off your debt.
There are two types of liens: voluntary and involuntary. A voluntary lien occurs when you put up the property as collateral for your loan, and it allows the lender to foreclose on your property if you fail to make payments. An involuntary lien is a lien against your property that a creditor has a right to attach.
Some involuntary liens stem from things like unsecured credit (credit cards, medical bills and personal loans) when the creditor goes to court and gets a judge’s permission to put a lien against your property.
Other liens include:
- Property tax liens
- IRS liens
- Child support liens
- Mechanic’s or materialmen’s liens
- Family law real property lien
A Word on Mechanic’s or Materialmen’s Liens
When you hire a contractor to work but you don’t pay the bill, the contractor might file a mechanic’s or materialmen’s lien against your property. The contractor has to record the lien within 1 to 6 months of the balance not being paid, and then he or she must sue you to enforce it. If the contractor wins the lawsuit, he or she may be able to force the sale of your property.
Related: How to get a lien removed from your property
Are You Buying a Home or Land for Sale in Lake City?
If you’re moving to Lake City, we can help you find the perfect place to live. Call us at 386-243-0124 to tell us what you want from your home and we will begin searching right away.
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