Legal Question in Real Estate Law in Florida
Can you sell a property with a lein on it?
The lein is $2000.. I'm trying to sell for $25000. Thank you.
2 Answers from Attorneys
Yes, you can. Not sure why anyone would buy it without making sure the lien is satisfied, but the buyer can accept property subject to the lien. They buy into the potential for an enforcement action and loss of the property unless the lien is paid. Why not just provide for payment of the lien from the proceeds? Seek some legal guidance with all your paper work.
A definitive "affirmative", assuming the lien is valid and enforceable (a big "if" these days). You will need to write the lienor in advance of the purchase to find out the total amount the lienor is claiming- usually more than the principle amount- to cover the lienor's attorneys fees, trial costs & advances, and accrued interest. These "incidentals" are not incidental. You will be quite surprised by the amount of fees and the accrued interest. The paperwork is not complicated. A commercial lender will do all the paper work. Very often a lienor will take less than what he might be due, just to rid himself of the headaches associated with collection procedures. And often, if cash or only private financing is involved, a purchaser and buyer may choose to ignore the lien in the hopes the lienor is asleep at the switch. As this becomes the purchaser's risk upon sale, monies sufficient to cover the lien may have to be "escrowed" [put in trust] for when the sleeping bear awakes.
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