Chapter 10 - Real Estate Liens and Taxes

Question 1

Lien

Answer 1

claim put on a property that is made to enforce the payment of a debt, mortgage, taxes, and judgements

Question 2

Voluntary liens

Answer 2

created willfully and purposefully: Mortgage

Question 3

Involuntary Liens

Answer 3

created not by choice but by force. Failure to pay off a debt or other encumbrances.

Question 4

statutory lien

Answer 4

created by a statute - not paying real estate taxes.

Question 5

Equitable lien

Answer 5

created by a court to ensure payment of a judgement as well as by agreement - when a credit card company obtains a judgement against a property owner for nonpayment and then attaches it to the real estate.

Question 6

General Liens

Answer 6

Unsecured liens that can apply to all property - IRS taxes, judgements, and other inheritance taxes.

Question 7

Specific Liens

Answer 7

Secured lien only tied to a piece of property. Mechanic’s liens, real estate tax liens and liens for special assessments or utilities.

Question 8

Condominium Liens

Answer 8

Liens for unpaid common expenses, unpaid damages, and unpaid penalties.

Question 9

Special Assessments

Answer 9

Improvement Taxes. Taxes assessed against real estate parcels for certain public projects real or improvements imposed by boards, districts, or municipalities.

Always specific and statutory but can be either involuntary or voluntary.