A lien is a legal claim to the property by someone other than the current owner. Not sure how or why someone can put a lien on a property?
A lien can be placed for a variety of reasons, but it typically revolves around a debt of some kind. If a property owner owes a debt to a creditor, contractor, or collection agency, that party may place a court-ordered lien against the property with the goal of collecting on the debt.
Have you extended credit or provided a service of some kind that has not been fully paid? If so, you may have the right to put a lien on a property. There is a very specific process for placing a lien, so it helps to work with a real estate attorney. Here’s an overview of how to put a lien on a property.
Filing a Mechanics Lien
A mechanics lien is placed by a contractor who has provided a service of some kind to the property. This includes construction, plumbing, HVAC, landscaping, and any other contractor or subcontractor service. If you’ve performed a service of some kind and did not receive your payment in full, you have the right to file a mechanics lien under the right circumstances.
The first step to make sure you will have the ability to file a mechanics lien is to provide notification to the owner and other involved parties that you are beginning work. If you fail to provide this, you may not have the legal right to place a lien on the property if it becomes necessary later on.
The next step is to send an invoice to the owner requesting payment. If you don’t receive payment in full, you can then send a notice of intent to lien. This informs the property owner that if you do not receive full payment, you are prepared to place a lien on the property. Failure to do this may also forfeit your legal right to place a lien.
If you still don’t receive what you are owed, you can file a lien with the local court. It is especially helpful to have a lawyer handle this part of the process to ensure it is done properly. There are specific timelines as well that dictate when certain steps must be completed. Once the lien is officially filed, a copy must be sent to the property owner.
Be careful to keep up with the timeline of the lien so that you can extend it or cancel it as needed.
Filing a Judgement Lien
Another common type of lien is a judgment lien. This is typically filed by a creditor who is owed a debt in an attempt to collect on it. Contractors can also file a judgment lien if there were circumstances that made it impossible to file a mechanics lien.
The first step is to file a judgment lien with the clerk’s office of the county where the debtor currently owns the property. It helps to have a lawyer’s assistance with this step to ensure that all of the necessary paperwork is filed correctly.
A judgment lien remains attached to the property for 10 years in the state of Texas. This provides ample opportunity for the debtor to repay the debt.
Common Questions About Property Liens
How Do You Put a Lien on a Property?
To put a lien on a property, you must file the appropriate lien documentation with the county clerk’s office where the property is located. The process typically involves preparing a lien affidavit, serving notice to the property owner, and ensuring all legal requirements are met. If the lien is related to unpaid work or services, such as a mechanics lien, strict notice deadlines apply before filing.
How to Put a Lien on a Property in Texas?
In Texas, placing a lien on a property requires sending preliminary notices, preparing a lien affidavit, and filing it with the county clerk by the legal deadline. For example, contractors must often send a Notice of Intent to Lien and file by the 15th day of the third month after the work was completed. Failing to meet Texas-specific deadlines or notice requirements can invalidate your claim.
Who Can Put a Lien on Your House in Texas?
Contractors, subcontractors, suppliers, lenders, government agencies, and other creditors can place a lien on your property in Texas if they have a valid legal claim. These parties must follow state-specific procedures and meet documentation and timing requirements to successfully file a lien.
Can Anyone Put a Lien on Your Property?
No, only parties with a legal interest-such as unpaid contractors, lenders, or judgment creditors-can put a lien on your property. They must prove that money is owed and follow formal legal steps. Filing a lien without a valid claim can result in legal consequences.
How Long Do You Have to Put a Lien on a Property?
The time limit to file a lien depends on the type of lien and local laws. In many cases, the deadline ranges from 30 to 120 days after the work is completed or the debt is incurred. For example, contractors typically must send preliminary notices and file within a specific timeframe set by state regulations. Missing the deadline can forfeit your right to file.
Do You Get Notified When a Lien Is Placed on Your Property?
Yes, property owners must be notified when a lien is filed. The party filing the lien is required to serve you with a copy of the lien affidavit. In many cases, a Notice of Intent to Lien is also sent in advance, giving you time to respond or settle the matter.
How Much Does It Cost to File a Lien in Texas?
Filing a lien in Texas typically costs between $35 and $150 in court fees, depending on the county. If you use an attorney, legal fees may range from several hundred to a few thousand dollars. Additional costs may include document preparation, title searches, and service of notices.
Kelly Legal Group Can Assist with Lien Placement
Whether you’re a contractor or creditor, you deserve to be paid for your services. Filing a lien is one way to exercise your right to collect payment. Now that you have a general idea of how to put a lien on a property, it helps to have a real estate attorney working with you along the way to ensure you don’t miss any crucial legal steps that could prevent you from getting paid. Kelly Legal Group works with businesses of all kinds to provide legal assistance.
Call (512) 505-0053 today or request an appointment. We will fight for your right to be paid for the services you provide.
