My aunt is trying to put a lean on my house.Please help?

Question

There it goes.I hope somebody can help.

I barrowed money from my aunt and now she is trying to put a lean on my house.The term is due august 1 and I need to know if she will put a lean on my house how is that gonna affect me.

The thing is that the money didn't come from her name.The check was written from somebody else.Does she still have the right to do that?

Answer 1

OK

To put a lien on real estate, your aunt MUST file a complaint in civil court.  IF she wins, she will get a judgment against you which is basically a paper saying she has a legal right to collect on a debt.  

To file a lien, she would need to go back to court to file the paperwork which will attach a lien to your title on the home.  Should she want to, she could then go back to court and force a sheriff sale of the property.  If you have a mortgage, the mortgage company ALWAYS has first position on the proceeds of sale......in other word, they get paid first.  If there is anything left, it will go towards the value of the lien, which may or may not earn interest and increase in value over the years

Depending on the amount owed, it may get very expensive to collect a small debt and may cost more than what is owed.

Just pay her what is owed and be done with it.

Answer 2

If the money didn't come from her than she can't do anything.  If the person who wrote the check wants to take you to court and put a lean on your house that may happen.  But they would have to prove that it was a loan and that you did not keep the terms.

If you plan on living in your house for the next 20-30 yrs then don't worry about the lean if they get one.  It can not be collected on until the house is sold or ownership transfers.

If you are planning on selling remember that lean will be payed off before you get any money.

Good luck!