Always consult your lender or mortgage broker as to what actions need to be taken in regards to a lien. Choosing the wrong action can actually hurt your situation if you are not following expert advice.

Liens may be voluntary ( a mortgage or deed of trust), statutory (property taxes), or involuntary ( a judgment affecting all the property an owner as or acquires during the legal life of the lien).

Statutory and involuntary liens fall into four categories:

• Property tax Liens -- These are placed against a property when the property taxes are not paid on time; they are given precedence over all other claims; if they continue to be delinquent for five years, the property will be sold off to pay the taxes; whenever a property is foreclosed upon, taxes are always the first debts paid;


• Judgment Liens -- These are general liens resulting when a person suing another person wins a judgment from a court for the sums owing and records an abstract of that judgment;


• Mechanics Liens -- These are recorded with the county by contractors, subcontractors, materials suppliers, or workers who wish to be paid for their delinquent bills covering labor or materials on new construction, land improvements, or remodeling projects; and


• Federal or State Liens -- These result from unpaid federal or state taxes, personal and inheritance taxes being the most common

All of the liens against a property usually show up on the initial title search that is completed by your title company or closing attorney depending on the state you live in.

If you are in a situation where you cant pay off your lien or liens, there are lenders who will let you subordinate the liens to the second position. This will enable you to refinance your mortgage with out having to payoff the lien.

In addition to judgment liens, Lis Pendens is not a lien filed as a result of a court judgment, but simply a notice of an impending lawsuit that involves the subject property.