The property is mixed-use in Erie County New York. 6 Residential on Top 3,000 commercial space below with its own private, gated parking. I rendered realtor services to the owner and found him a 5 year tenant at $3,800 per month. He did not pay me at closing. Four months later he hadn't paid in full. My brokerage sent him an official notice demanding payment. He allegedly cancelled the lease with the tenant. I consulted an attorney and it doesn't matter that he cancelled the lease with the tenant. He still owes me for the services I rendered and saw through to consummation.
I filed a mechanic's lien against his property. It is a high quality mechanic's lien with proof of filing, proof of service by a third party, and it is visible and searchable in the public record. It is worth $9,800 and his property was listed for sale last year for $1.2M. It was purchased for $750,000 in 2022. I am looking to sell/assign the mechanic's lien.
How do I go about doing that? Has anyone done this before?
The property is mixed-use in Erie County New York. 6 Residential on Top 3,000 commercial space below with its own private, gated parking. I rendered realtor services to the owner and found him a 5 year tenant at $3,800 per month. He did not pay me at closing. Four months later he hadn't paid in full. My brokerage sent him an official notice demanding payment. He allegedly cancelled the lease with the tenant. I consulted an attorney and it doesn't matter that he cancelled the lease with the tenant. He still owes me for the services I rendered and saw through to consummation.
I filed a mechanic's lien against his property. It is a high quality mechanic's lien with proof of filing, proof of service by a third party, and it is visible and searchable in the public record. It is worth $9,800 and his property was listed for sale last year for $1.2M. It was purchased for $750,000 in 2022. I am looking to sell/assign the mechanic's lien.
How do I go about doing that? Has anyone done this before?
What are the liens ahead of your mechanics lien? If there's a high LTV mortgage ahead of you; property taxes, other liens, etc., your position may not be worth much to a third party. Further, I assume your lien accumulates interest at the stated New York State rate. Do you know what that rate is? Further New York is one of the toughest states to foreclose in. Any purchaser of your lien has the problem of, unlike a note, the debtor has not "acknowledged" the lien, so that the lien holder of the mechanics lien may (will) have to prove the basis for the lien in court, which is way different from an "enforcement" action as to an executed note.
Bottom line is even in the best of circumstances (property unencumbered otherwise) you’re looking at a huge haircut.