Are you stuck trying to sell your property, but nothing seems to move forward? One of the biggest reasons this happens is a New York real estate lien. It’s not just about taxes or mortgages.
Sometimes, liens are tied to contractors, subcontractors, or suppliers who worked on the property. That’s where New York State lien rules for subcontractors and suppliers come into play.
These rules can create major roadblocks if not handled early. Let’s break down why liens cause delays and what you can do about it.
What Exactly Is a New York State Lien?
A lien is a legal claim against your property. If you owe money to someone, like a contractor or supplier, they can place a lien on your property. In New York, this is very common for unpaid bills tied to home improvements.
For example, let’s say you hired a roofer who wasn’t fully paid because of a billing issue. That roofer can file a lien. Until it’s resolved, you can’t sell your property. It’s like a red flag that tells buyers and lenders, “There’s unfinished business here.”
How Do Liens Slow Down Property Sales?
Liens create a legal headache. Buyers want clean titles. That means no disputes, no unpaid debts, and no liens. When there’s a New York real estate lien, it puts everything on hold.
For example, if a buyer is ready to close the deal, the title company won’t sign off. They need proof that the lien is cleared. This delays the process, sometimes by months. Plus, potential buyers might get scared off, thinking the property has hidden problems.
Who Can File a Lien on Your Property?
You might think liens only happen because of taxes or big lawsuits, but that’s false. Under New York real estate lien rules for suppliers and subcontractors, anyone who provided work or materials for your property can file a lien.
Let’s say you remodeled your kitchen. The subcontractor who installed the cabinets or the supplier who delivered the materials can file a lien if they aren’t paid.
Even if you paid the main contractor, subcontractors can still file a claim if they didn’t get their cut.
Final Thoughts
Liens are one of the most frustrating roadblocks when selling property. A New York real estate lien can stop your sale in its tracks, especially if it involves contractors, subcontractors, or suppliers.
But it’s not impossible to fix. Start by understanding who filed the lien and why. Then take steps to resolve it, whether through payment, negotiation, or legal action. Knowing the New York State lien rules for subcontractors and suppliers helps you stay prepared.
With the right approach, you’ll clear the lien and sell your property without further delays.