How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Law Educator, Esq. Your Own Question
Law Educator, Esq.
Law Educator, Esq., Lawyer
Category: Criminal Law
Satisfied Customers: 118635
Experience:  Attorney with over 20 years law enforcement, prosecution, civil rights and defense experience
Type Your Criminal Law Question Here...
Law Educator, Esq. is online now
A new question is answered every 9 seconds

Can the State or Federal Government seize a property, over

This answer was rated:

Can the State or Federal Government seize a property, over the interests of the bank, if there is criminal activity being planned, operated or harboring wanted criminals?
Thank you for your question. I look forward to working with you to provide you the information you are seeking.

Yes, the government CAN seize the property that has a mortgage as long as there is equity in the property, BUT the problem is that they seize it subject to the mortgage and whoever buys the property will take the property subject to that mortgage. It is for this reason the government generally will not seize any property unless there is at least 20%-33% equity in the property. The seizure of the property does not extinguish the mortgage.

I truly aim to please you as a customer, but please keep in mind that I do not know what you already know or don't know, or with what you need help, unless you tell me. Please consider that I am answering the question or question that is posed in your posting based upon my reading of your post and sometimes misunderstandings can occur. If I did not answer the question you thought you were asking, please respond with the specific question you wanted answered.

Kindly remember the ONLY WAY experts receive any credit at all for spending time with customers is if you click on OK, GOOD or EXCELLENT SERVICE even though you have made a deposit or are a subscription customer. YOU MUST COMPLETE THE RATING FOR THE EXPERT TO RECEIVE ANY CREDIT, if not the site keeps your money on deposit.

Also remember, sometimes the law does not support what we want it to support, but that is not the fault of the person answering the question, so please be courteous.

Customer: replied 4 years ago.
What if there is no equity or not enough; but there still is criminal activity and the property is being used for that purpose? Does the bank seize it?
If there is no equity, the government can still place a lien on the property, but they will not seize it generally. The bank, if your mortgage has a clause about use for illegal purposes could foreclose on the property and take it based on your violation of the terms of the mortgage.
Customer: replied 4 years ago.
But if the Government sees the property as a criminal asset; they will seize it then sell it to the public. I see Government agencies selling, cars, boats, homes etc. as a result of these busts.
Thank you for your response.

Yes they do seize these assets, but not when there is no equity in them. You see assets being sold because they had sufficient equity in them to be sold as the government seizure cannot release the lien on the property.
Customer: replied 4 years ago.
So in regards XXXXX XXXXX original property in question; if there is not sufficient equity relating to the criminals using the property, because the bank owns the majority, then it can't be seized for resell. It would be up to the bank to make a decision based on its rules.
That is correct, you have understood what I have stated to you and the process.
Law Educator, Esq. and other Criminal Law Specialists are ready to help you