What is a lien on a property?

A lien is a legal claim against a property, typically arising from an unpaid debt, that gives the creditor a secured interest in the property until the debt is satisfied. Common types of liens include mortgage liens (the bank's claim against the home as collateral for the loan), tax liens (for unpaid property or income taxes), mechanic's liens (filed by contractors for unpaid work), and judgment liens (resulting from court judgments against the property owner). A lien can prevent a property from being sold or refinanced until it is resolved.

Liens are one of the key issues that a title search is designed to uncover before a sale closes. In the Western Catskills, where properties may have passed through multiple owners over many decades and older construction or renovation projects may have involved informal payment arrangements, buyers should take comfort in knowing that a thorough title search in Delaware, Otsego, Greene, and Ulster counties will identify any recorded liens before they become the buyer's problem. Sellers are responsible for satisfying all liens at or before closing, and title insurance provides additional protection if any undiscovered liens surface after the sale.