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 Andrea, Esq. Your Own Question
Andrea, Esq.
Andrea, Esq., Lawyer
Category: Real Estate Law
Satisfied Customers: 12554
Experience:  I have practiced law for 25 yrs. with an emphasis on real estate, business law, criminal defense and family law.
20073497
Type Your Real Estate Law Question Here...
Andrea, Esq. is online now
A new question is answered every 9 seconds

Can real estate with liens be sold? What happens to liens

This answer was rated:

Can real estate with liens be sold? What happens to liens on real estate property when the property is sold?

Hello and Welcome to JustAnswer, My name is XXXXX XXXXX my goal is to provided you with Excellent Service, Thank you for your question,

 

 

Under Minnesota law, as well as almost all States, if the property is sold witout the seller satisfying the liens, the "run" with the property. In other words, they remain with the property and the buyer takes "subject to" these liens. If the buyer does not pay off the liens, then the lienholder may ask the Court for a Writ of Execution, give the Writ to the Sheriff and have the Sheriff put it on his list and sell it at Sheriff's Sale. The proceeds from the sale will be distributed by the Sheriff to the lienholders in order of their priority. For example, if a lienholder in second position has the Sheriff sell the property, the Sheriff will use the proceeds to satisfy the lieholder who is in first position before paying anything extra to the second and third position lienholders.

 

_________________________________________________________________

 

 

Please be kind enough to rate "Excellent Service" so that I receive credit

for assisting you,

 

 

Bonus and Positive Feedback on survey is very much appreciated,

 

 

 

Thank you for allowing me the opportunity to be of assistance,

 

 

ANDREA

 

 

 

 

Customer: replied 4 years ago.
Thank you for your reply. Is it possible for the seller to assume or keep responsibility for the lien amount? Basically can the amount of the lien still remain the responsibility of the seller? Could this be accomplished through a quit claim sale?

Good morning, Dee,

 

The seller remains responsible, but the lienholder still has the right to sell the property to satisfy his lien. There are only two ways to remove the lien; the first way is to have the seller pay the lienholder what he owes him. The second way is to have the lienholder sign a Release, releasing the property from his lien. Otherwise the lien will remain on the property.

 

A Quit Claim deed transfers only whatever rights the owner in the property to the Grantee. If the owner has title which is encumbered by liens, that is what he will be transferring to the Grantee. So, the Grantee will be taking the property with all the liens and the lienholder can sell the property to satisfy his lien. This would be done in the way I described in my previous Answer,

 

____________________________________________________________________-

 

 

Please be kind enough to rate "Excellent Service" so that I receive credit

for assisting you,

 

 

Bonus and Positive Feedback on survey is very much appreciated,

 

 

 

Thank you for allowing me the opportunity to be of assistance,

 

 

ANDREA

 

 

 

 

Andrea, Esq. and 3 other Real Estate Law Specialists are ready to help you