Question:

Hello,

I see in the report about $200,000 of personal liens. (approximately). Can you tell me if this number is all secured on the house? There seem to be a number of judgements additionally. Can you please explain what a judgement is in this context? There are several mortgages. I want to make sure that I understand the total mortgage liability on this property.

In the event of a foreclosure auction, I would (i assume ) be purchasing the property from the primary lender. Please confirm that this would leave outstanding, all subsequent mortgages and personal liens? And if this is in fact the case, can you confirm for me what the total outstanding would be (beyond the primary lender’s claim).

One more question: Did the current owner’s personal bankruptcy effect any of these outstanding / open liens, judgements etc? I believe that tax debt is not forgiven in the event of bankruptcy. Is that correct?

Thank you,
Monique

Answer:

Monique,

Yes, it appears that the liens have been extinguished by the foreclosure and that the bank’s listed liens are not relevant to this property.

However, it is still critical to note that, like any title company, we do not issue guarantee policies for these preliminary reports. In other words, if a lien does exist and the title is clouded, such a defect will not be insured unless you purchase title insurance through a title company that issues title policies to close the transaction.

Many of our real estate investment clients are seasoned and close their own transactions but it is our company policy to make that clear to all new clients. Please also see our Terms of Use page on the site.

Please let us know if you have additional questions.

Thank you,

Customer support team
U.S. Title Records