Loaing Money to Friend and Putting Lien on land
Full Question:
Answer:
The answer depends on the terms of the loan, the others creditors involved, and the type of lien obtained. If the property was pledged as collateral for the loan, it may be taken in the event of a default, according to the security interest provisions in the loan contract. If the loan was unsecured, then a judgment would need to first be obtained for breach of the loan contract and then the judgment won could be used to request that a lien be placed on property owned by the judgment debtor. The lien on the property would be filed in the county where the property is located, however, any liens filed on the property prior to you would have priority. Loans that have priority are paid first out of the proceeds of a sale.