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View Full Version : Liens are working, but how do you release them?


Can I Mow Your Lawn?
03-26-2007, 12:35 PM
Last summer a lady stiffed us on a st augustine sod installation. After giving her every chance in the world to pay, we realized we were getting stiffed and filed a lien on the property.

She called this weekend and left a voice mail. She is selling the house. The title company called this morning as well. They are set to close in 2 days.

We have never actually done this before, so, after they pay us, how do we release the lien? We were thinking we would just send a letter on company letterhead to the title company stating that she had paid in full and the lien was satisfied, but is that how it works? Does the title company then make the lien go away or do we have to do something with the county to make the lien dissapear?

I can't imagine the mortgage company would let the buyer buy the house if the lien still existed, so does the title company make it go away after they know it's been satisfied?

Thanks for any and all help,
Can I Mow Your Lawn?

topsites
03-26-2007, 12:40 PM
Man I'm just glad it works, but first place I would check is with the clerk or the authorities where you filed the paperwork to begin with, that would be my first stopping point. It still amazes me, how suddenly they remember and find the money sometimes lol.

Can I Mow Your Lawn?
03-26-2007, 12:48 PM
If the seller doesn't have the cash to satisfy the lien, I GUESS (and it's a total guess) that they'll allow the sale, only the selling price drops by the amount of the lien and the title company cuts a check to the lien holder????

In other words:

Existing mortgage = $100,000
Landscaper's lien = $1,000

Sales price = $150,000

In this instance, the buyer pays $150,000 for the home to the title company. The title company give the seller $49,000 and sends $100,000 to the seller's morgage company and $1,000 to the landscaper.

I assume that's how it would work.

How else would the seller get their home equity out if they don't have cash to satisfy a lien?

Later,
Can I Mow Your Lawn?

ProStreetCamaro
03-26-2007, 12:58 PM
They were in no hurry to pay you so you shouldnt be in any hurry to clear the lien in my oppinion. Maybe it will teach them not to screw people.

Can I Mow Your Lawn?
03-26-2007, 01:01 PM
If I screw their closing, they could have serious damages.

Later,
Can I Mow Your Lawn?

nobagger
03-26-2007, 01:17 PM
I would just be glad I got my $$$$$$ and get out!

Pro-Scapes
03-26-2007, 01:24 PM
the title company will work with you on this. You have to sign a form releasing intrest in the property. Just like a bank must do it when they have a financial intrest in a property they are the 1st lienholder until the motage is satisfied.

In this case you could be 1st if the house is paid for outright...2nd if no one else has a lien... 3rd or 4th or so on. All liens must be satisfied before the home can change owners. Dont drag your feet on this. Do it quickly and professionally. It says more about your company that dragging your feet and getting "revenge" Get paid and be gone.

gandk06
03-26-2007, 01:25 PM
I used to be on the board of a HOA and had to place liens on several properties for not paying yearly dues. It was always the homeowners responsibilty (leagally) to have the lien removed before the property could be sold. We never had to do anything additional other than sign off that it was payed.

Scagguy
03-26-2007, 03:09 PM
PM me with your phone number and I'll explain how the process works. I was a mortgage broker for a number of years before getting into the green industry.

gene gls
03-26-2007, 08:20 PM
Last summer a lady stiffed us on a st augustine sod installation. After giving her every chance in the world to pay, we realized we were getting stiffed and filed a lien on the property.

She called this weekend and left a voice mail. She is selling the house. The title company called this morning as well. They are set to close in 2 days.

We have never actually done this before, so, after they pay us, how do we release the lien? We were thinking we would just send a letter on company letterhead to the title company stating that she had paid in full and the lien was satisfied, but is that how it works? Does the title company then make the lien go away or do we have to do something with the county to make the lien dissapear?

I can't imagine the mortgage company would let the buyer buy the house if the lien still existed, so does the title company make it go away after they know it's been satisfied?

Thanks for any and all help,
Can I Mow Your Lawn?



The lawyer handling the closing will take care of it. I worked on a forclosure property this spring and it took 90 days to get paid. Lots of hands passing the paper work around.

mojob
03-26-2007, 08:30 PM
How did you file the lien in the first place? I'm in a similar situation and I don't know how to go about it.

PbInvestor
03-27-2007, 05:13 AM
the Title company or closing attorney will call you to get an amount. They will hold this amount from the seller's settlement. They will call you to come get a check. When you show up to get it, they will ask you to sign a release. They will have someone notarize it and they will file it. Very simple.....At least in GA.

hdhillin
03-27-2007, 06:36 AM
Did you pay a fee to file? I am sure you did. You also have to pay a fee to have the lien lifted once it is satisifed so include those fees in the price as well. The closing attorney for the seller can handle this process, however they do not work for you. You can get an attorney(property) and have him file the appropiate paperwork, and his fees can be included in the amount. If you did not include that in the legal wording, you may not be able to recoup it this time. Just keep those fees in mind next time. Also remember you have waited for your money so why be in a hurry to clear this up. The law is on your side, the process takes time. The delay is the problem on the dead beat lady, not yours. Good Luck!