What Is a Home Lien?
A home lien is a legal claim held by someone other than the home’s owner against a property, usually in response to a debt. This usually comes in the form of a mortgage and means that the home is partially owned by the bank or mortgage holder until the home is paid off. Other liens can also be held against the home, as in the case of a property owner being sued and judgments being placed on the house. Although most people assume that a home lien is a bad thing, home mortgages are a form of lien that is often necessary and is not necessarily negative. This just means that if homeowners fail to make a payment on their balance, the mortgage holder can foreclose on the property and take possession of it to resell in order to collect the money. While this is a negative thing for those who cannot make their payments, mortgages allow those who do not have the money to pay in full the chance to own a home.
