Mortgage Lien
Definition of "Mortgage lien"
A lien on the property of a mortgagor. In most states a mortgage gives the mortgagee a lien-as opposed to the common-law practice of granting conditional title-on the house or property as security for the loan. A mortgage lien secures the loan. In the event of a default, a mortgage lien holder can foreclosure on the property in order to satisfy the claim of the mortgagor. The priority of a mortgage lien depends on the number of previous liens on the property. If there are no other previous mortgage liens or other financial obligations against the property, then the mortgage lien is considered a first mortgage and takes priority over succeeding loan agreements. In case of foreclosure, the holder of a second mortgage lien can recover only after the first mortgage lien holder has been paid.
Popular Real Estate Terms
Ownership rights to the minerals or other precious resources, such as petroleum, in one's property. A property owner having the mineral rights to the property can do one of three things ...
Small navigable body of water having limited water access and egress. Coves are often secluded and acts as a boating anchorage. Concave or cratered corner molding. A hollow cornice. ...
Latin term meaning legal capacity to act on behalf of oneself. ...
A fully amortized mortgage necessitating periodic payments of both interest and principal. In the early years of the loan, the share of principal is smaller and the interest larger, a ...
The appraisal approach is used to estimate the value of an asset, based on various factors to reach the closest educated guess of the asset. While an appraisal approach does consider the ...
Mock closing; all information is available prior to an actual closing in order to insure all documents are properly executed by the appropriate parties. A preclosing is normally used only ...
Contractor who constructs new roofs or repair old ones. ...
A corporation that owns housing units and whose tenants purchase shares in the corporation equivalent to the value of their housing unit. Also called co-ops. ...
A cooperating broker or agent defines a real estate broker who helps another broker in a private property transaction. Typically, the cooperating broker represents the seller and is ...
Have a question or comment?
We're here to help.