Special Interes in land

Question 1

Virginia Deed of trust

Answer 1

Virginia Recognizes the deed of trust, if the buyer pays off loan trustee reconvey title to the buyer,

if the buyer defaults, trustee sells the property, applies the proceeds to the costs of the trust, and uses the remainder to pay debt to lender

Question 2

Mechanics lien

Answer 2

Contractor who performs labor on real property has a mechanics lien on the property to ensure payment
Must be filed within 90 days of the last day of the month in which the labor was performed

Question 3

Judgment lien

Answer 3

Someone who obtains a court judgment can file a judgment lien against judgment debtor’s real property
Must be located with clerk in county or city where land is

Question 4

Personal liability of mortgagor

Answer 4

In Virginia, the mortgagor is also personally liable

Upon default, the mortgagee can proceed directly against the mortgagor and does not need to bring a claim against the property first.

Mortgagor remains personally liable for the full amount of the loan, even if that is more than the fair market value of the mortgaged property.

Question 5

Transfer of mortgage debt

Answer 5

Virginia, transfer of debt results also in transfer of the mortgage or any deed of trust that provides SI for that debt.
If the bank transfers debt to another entity only the transfer entity, only the transferee can bring a claim on deed of trust or mortgage securing the debt.