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Types of Property Liens

Property liens are a type of encumbrance placed on a property to secure payment or satisfaction of a debt, obligation, or other claim against it. There are various types of property liens that can be imposed on a property, depending on the circumstances and the purpose of the lien. In this article, we will explore some common types of property liens.

Types of Property Liens​

1. Tax Lien​

A tax lien is a type of property lien that is imposed by the government to secure payment of taxes owed by the property owner. When a property owner fails to pay their taxes, the government can place a lien on the property to ensure that the tax debt is paid. The tax lien takes priority over any other encumbrances or liens on the property.

2. Mortgage Lien​

A mortgage lien is a type of security interest granted by a homeowner to a lender in exchange for a loan to purchase or refinance their home. A mortgage lien gives the lender the right to foreclose on the property if the borrower fails to make payments on the loan.

3. Mechanic's Lien​

A mechanic's lien is a type of property lien that allows contractors, suppliers, and laborers to secure payment for work or materials provided to a property owner. A mechanic's lien can be filed by anyone who has supplied goods or services to improve the property.

4. Judgment Lien​

A judgment lien is a type of property lien that arises from a court judgment against an individual or business. When a court enters a judgment against someone, it can result in a lien being placed on their property, including real estate and personal property.

5. Court Order Lien​

A court order lien is a type of property lien that results from a court's order to secure payment or satisfaction of a debt or obligation. This type of lien can be imposed by the court to enforce an order related to child support, alimony, or other financial obligations.

6. Utility Company Lien​

A utility company lien is a type of property lien that arises when a homeowner fails to pay their bills for services such as electricity, gas, water, and sewage. The utility company can place a lien on the property until the debt is paid in full.

7. Homeowners Association (HOA) Lien​

An HOA lien is a type of property lien that results from a homeowners association imposing fees or fines on a homeowner who has failed to comply with community rules and regulations. The HOA can place a lien on the property until the debt is paid in full.

8. Environmental Lien​

An environmental lien is a type of property lien that arises when a property owner fails to clean up environmental hazards such as contamination or pollution. This type of lien is often imposed by government agencies responsible for environmental protection.

Note: The types of property liens mentioned above are not exhaustive, and the specific laws governing liens may vary depending on the jurisdiction in which the property is located.