Hey, if you enter the real estate market, you’ve got to know what those fancy words mean. Here’s one of them:

Lien: A legal claim against a property as security for the payment of debt. The lien holder (also known as the lienor) can legally sell the property in question to satisfy a debt if it is not paid by the lienee. When a contract is paid for, the lien is removed. Understanding this term is essential for home buyers with a mortgage because if the mortgage payments are not paid on time, then their home (as the lienee) can be seized!

This entry was posted on Friday, December 21st, 2007 at 10:58 am and is filed under Trade Talk. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.