All Forum Posts by: Julie Smith

I just got a title report on a property that has judicial liens that is forcing the foreclosure. The property's mortgage is NOT in foreclosure. I was pretty sure I understood that mortgages are senior to other liens, so what could this mean:

Title def category: NOMTGLN Possible senior non-mortgage lien recorded

How can a judicial lien recorded years after the mortgage be a senior lien?

FYI, this is in Washington if that matters?

Thanks for any help.

It could be a previously unrecorded government lawsuit lien. Not everything gets recorded in a timely fashion.

Thanks for responding. If the title company puts this comment in their report why wouldn't the details be in the title report? The mortgage is from 2015 and the judgement line is from 2012.

Sorry the lien is from 2022.

0 Votes

Quote from @Account Closed:

Quote from @Julie Smith:

Title def category: NOMTGLN Possible senior non-mortgage lien recorded

How can a judicial lien recorded years after the mortgage be a senior lien?

FYI, this is in Washington if that matters?

Thanks for any help.

It could be a previously unrecorded government lawsuit lien. Not everything gets recorded in a timely fashion.

Thanks for responding. If the title company puts this comment in their report why wouldn't the details be in the title report? The mortgage is from 2015 and the judgement line is from 2012.

0 Votes

Title def category: NOMTGLN Possible senior non-mortgage lien recorded

How can a judicial lien recorded years after the mortgage be a senior lien?

FYI, this is in Washington if that matters?

Thanks for any help.

0 Votes

Quote from @Chad U.:

Quote from @Julie Smith:

Quote from @Chad U.:

Quote from @Julie Smith:

Quote from @Chad U.:

Quote from @Julie Smith:

I am bidding on a Sheriff's judicial lien foreclosure (in Washington state). The mortgage is NOT in foreclosure. I have read the following which confuses everything I thought I knew.

"a judgement lienholder can choose to foreclose on the home to get paid. But judgment lienholders rarely foreclose because it take effort and money to foreclose and, in most cases, the lienholder doesn't get anything out of the foreclosure sale because mortgages or other liens have priority"

I was under the impression that the winning bid amount would go to the judicial lien holder since that is what the Sheriff is holding the foreclosure for. The quoted statement above sounds to me like the winning bid would first go to the mortgage because it's superior to the lien, even though the mortgage is not in foreclosure?

Every time I think I've very clear on everything I read something that seems to say something completely different. Can someone clarify this for me, please. Thank you.

I am assuming that a junior lien holder is the one foreclosing. In this case whoever is the winning bidder at the auction will become title holder subject to any superior liens, including mortgages. If a third party bidder were to bid more than the amount owed, then the lien holder would be made whole, the remainder goes to any juniors down the line and if none to the owner. However often times third party bidders will not participate due to being subject to superior liens and the lien holder foreclosing takes title.

Thank you for responding. Yes, the junior lien holder is the one foreclosing. Are you saying the superior lien holder (the mortgage compamy) will not allow me to pay the mortgage and will foreclose instead?

They should allow you to pay it off, but most will not permit you to assume it.

That's what I'm hoping, to pay it. From your experience do you think that can happen immediately or do you think I have to wait to get the Sheriffs dead which won't be until the end of the redemption period? Thanks so much for all the comments.

I would get in contact with the first lien lender ASAP and explain the situation. There's a good chance they will not work with you given you are not the mortgage holder but you maybe able to keep making the payments to keep them from foreclosing until you get the deed.

Many thanks!

0 Votes

Quote from @Chad U.:

Quote from @Julie Smith:

Quote from @Chad U.:

Quote from @Julie Smith:

I am bidding on a Sheriff's judicial lien foreclosure (in Washington state). The mortgage is NOT in foreclosure. I have read the following which confuses everything I thought I knew.

Every time I think I've very clear on everything I read something that seems to say something completely different. Can someone clarify this for me, please. Thank you.

They should allow you to pay it off, but most will not permit you to assume it.

0 Votes

Quote from @Chad U.:

Quote from @Julie Smith:

I am bidding on a Sheriff's judicial lien foreclosure (in Washington state). The mortgage is NOT in foreclosure. I have read the following which confuses everything I thought I knew.

Every time I think I've very clear on everything I read something that seems to say something completely different. Can someone clarify this for me, please. Thank you.

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Quote from @Martin M.:

@Julie Smith

Google lien position. It's critical to understand this before bidding at auction. If this is your first auction purchase you probably want to pay for a professional title search first.

Generally speaking, any liens attached to the property that are 'junior' to the foreclosing party's lien are extinguished from the property at auction sale. Any liens attached to the property that are 'senior' to the foreclosing party's lien remain attached to the property. Hope this helps

Thank you for responding. Yes, I totally understand lien positions and your comments about the senior lien remaining attached to the property is how I understood it. What I quoted in my question is what confused me. It didn't ring true so I thought I'd ask around. Yes, thanks so much, that helped.

0 Votes

I am bidding on a Sheriff's judicial lien foreclosure (in Washington state). The mortgage is NOT in foreclosure. I have read the following which confuses everything I thought I knew.

Every time I think I've very clear on everything I read something that seems to say something completely different. Can someone clarify this for me, please. Thank you.

0 Votes

Quote from @Randy Rodenhouse:

@Julie Smith. I need some clarity on your question. First what state is the property in? If the 1st mortgage is foreclosing then the subordinate liens (with some exceptions like property tax liens, IRS liens, city utilities liens, etc) will be wiped out.

Thanks for responding. This is in WA. The mortgage is NOT in foreclosure. It's the judicial lien that is forcing the foreclosure. I know that liens come with Sheriffs sales so the mortgage will have to be paid, but when? Can I call the mortgage company on someone's else's loan and pay it off or do I have to wait for the deed (at the end of the redemption period)? I'd like to make the redemption less appealing.

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Tacoma, Washington

When there are remaining liens, especially a mortgage, when does the winner of the sheriff's judicial lien foreclosure pay that off keeping in mind there is a 1 year redemption period? As soon as possible to make the redemption option less attractive or after the redemption period? Thank you.

0 Votes

Tacoma, Washington

All Forum Posts by: Julie Smith

Julie Smith has started 5 posts and replied 45 times.

Post: Senior non mortgage lien

Post: Senior non mortgage lien

Post: Senior non mortgage lien

Post: Sherriff's lien foreclosure....clarification on what the auction amt pays for.

Post: Sherriff's lien foreclosure....clarification on what the auction amt pays for.

Post: Sherriff's lien foreclosure....clarification on what the auction amt pays for.

Post: Sherriff's lien foreclosure....clarification on what the auction amt pays for.

Post: Sherriff's lien foreclosure....clarification on what the auction amt pays for.

Post: When I pay remaining lien after judicial sheriff's foreclosure

Post: When I pay remaining lien after judicial sheriff's foreclosure