Current Nevada Law: Subject to Verification
This article discusses liens and title matters in general terms for education. A mortgage is itself a lien and payoffs are routine, but judgments, tax liens, HOA liens, mechanic's liens and other recorded claims can raise different requirements. Title professionals evaluate the actual recorded matter and determine what is required for the contemplated transaction. Property DNA is not a title search, title commitment or title insurance policy. Use title professionals for title.
A Lien Doesn't Automatically Stop the Sale
A lien does not automatically mean:
You cannot sell the house.
It means there is something affecting title that may need to be addressed before the buyer can receive the ownership/title coverage contemplated by the transaction.
What Kind of Lien Is It?
The important question is:
What kind of lien is it?
A mortgage is itself a lien.
That's routine.
Mortgage payoffs happen in real-estate closings every day.
Other liens can be more complicated.
Judgments.
Tax liens.
HOA liens.
Mechanic's liens.
Other recorded claims.
Some are legitimate and can potentially be satisfied from sale proceeds.
Some may have already been paid but were never properly released.
Some may be associated with the wrong person or require documentation.
Some may be disputed.
Don't Diagnose From a Public-Record Search
This is why sellers should not diagnose a lien from a random public-record search and assume they understand what it means.
Title professionals need to evaluate the actual recorded matter and determine what is required for the contemplated transaction.
Equity Usually Decides
Suppose the home sells for $500,000.
The mortgage payoff is $280,000.
A valid $10,000 lien also exists.
There may be plenty of equity to satisfy both and complete the sale, subject to all other costs.
That is very different from a seller who has little or no equity and multiple large liens.
Again, net proceeds matter.
Run the math with the Seller Net Calculator.
Timing Matters
And timing matters.
If you know about a lien, mention it before listing.
Do not wait until a buyer has given notice at their apartment and scheduled movers before telling Lisa:
Oh, by the way, there might be this judgment thing.
Early identification gives title, escrow, attorneys and other professionals more time to determine what must happen.
Property DNA vs Title Professionals
Property DNA may surface useful public-record information where available, but Property DNA is not a title search, title commitment or title insurance policy.
Use it for early information.
Use title professionals for title.
For the HOA-specific version of this, see Can I Sell My House If I Owe HOA Money?.
Want to Know What the Records Say About Your Property?
Request a free Property DNA report. Property DNA can include available property, ownership/history, mortgage-related, comparable, neighborhood, school, risk, public-record and other property information depending on available sources.
Current typical turnaround is approximately 40 minutes during normal business hours, and many reports are returned within one hour or the same business day, but turnaround is not guaranteed and can vary.
Property DNA is free through Lisa. Request a free Property DNA report.
Important
Property DNA uses third-party, public-record and other available data believed reliable but not guaranteed. It is provided for informational purposes and is not an appraisal, title search, title commitment, title insurance policy, inspection, survey, legal opinion, tax opinion, environmental report or guarantee of value.
