Definition of Lien sale:
A lien sale is the sale of the claim or "hold" placed on an asset to satisfy an unpaid debt. Typically, lien sales are conducted as public auctions, and the lien is on real estate, automobiles, and other personal property.
Depending on a particular state's laws, contractors, subcontractors, and suppliers may put a lien on a piece of property they have worked on pending payment for services rendered.
A sale conducted by a governmental agency when a property owner has failed to pay the real estate taxes due. The agency places a lien on the property equal in value to the taxes due and proceeds to conduct a lien sale in order to collect these monies. The lien may be bought by an individual or entity by paying the monies due. The lienholder will not have ownership but continues to pay the taxes for the time it holds the lien, and can collect a surcharge and interest on the payments from the property owner.
How to use Lien sale in a sentence?
- A lien sale is the sale of the claim or "hold" placed on an asset to satisfy an unpaid debt.
- There are limits to the interest rate amounts that a lien buyer can impose.
- Notices for lien sales might be posted online by the overseeing local agency as well as in local newspapers.
Meaning of Lien sale & Lien sale Definition