Let’s say that you buy a home in cash and have 100% paid off. Could you still lose it somehow?

you are viewing a single comment's thread
view the rest of the comments
[+] 103 points 2 years ago* (last edited 2 years ago) (2 children)
  • [+] 36 points 2 years ago (2 children)
  • [–] 14 points 2 years ago (1 child)

    In my understanding a lein doesn't usually lead to disclosure, they just make sure they get paid when it's sold.

  • source
  • parent
  • hideshow 2 child comments
  • [–] 3 points 2 years ago (2 children)

    Lien** and for the person you replied to

  • source
  • parent
  • hideshow 4 child comments
  • [–] 6 points 2 years ago (1 child)

    Also "foreclosure," not "disclosure."

  • source
  • parent
  • hideshow 2 child comments
  • [–] 1 point 2 years ago (2 children)

    Can you be foreclosed on when you own out right? Seems like mortgage terminology.

  • source
  • parent
  • hideshow 4 child comments
  • [–] 2 points 2 years ago

    The mortgage is a type of lien. But there are other kinds of liens, such as when a contractor works on your house, and you didn't pay them, they can place a lien on the property until you pay. In the worst case, a contractor could forclose and force the sale to cover the debt.

  • source
  • parent
  • [–] 1 point 2 years ago*

    The sentence in question was:

    a lein doesn’t usually lead to disclosure

    I don't know if "foreclosure" is the right word to describe a forced sale due to a lien, but I do know the person didn't mean to write "disclosure" instead.

  • source
  • parent
  • [–] 6 points 2 years ago (1 child)

    In some states if you hire a contractor to do work, and they hire some guys and doesn’t pay them, those guys can put a lien on your house even if you payed the contractor. 😳

  • source
  • parent
  • hideshow 2 child comments
  • [–] 6 points 2 years ago (1 child)

    That's why large projects require a performance bond and a payment bond. The performance bond covers the project, the payment bond covers subcontractors.

    Not sure what the feasibility is for a household project, but it's always good to look for a contractor who is licensed, bonded, and insured and ask for those documents before signing.

  • source
  • parent
  • hideshow 2 child comments
  • [–] 2 points 2 years ago

    Absolutely. I work in the building material supply industry, and everyone in the office hates having to do a lien on a homeowner. It’s rare because we have pretty strict requirements on whom we give credit accounts.

  • source
  • parent
  • [+] 11 points 2 years ago* (last edited 5 months ago) (2 children)
  • [–] 15 points 2 years ago

    It's good you have a good one, but the big issue with them is they have almost no oversight at all. They almost function as little privately owned fiefdoms with extremely broad powers over anyone under them. Yours might be good now, but there have been plenty of examples of a good HOA being bought by a corporation and then becoming tyrannical almost overnight. There's a whole industry of HOA management companies out there, and they are bad news. The last time I saw the statistic something like 80% of new construction in the US is managed by an HOA, too.

    Don't get me wrong, when they work right they serve a purpose, but the lack of laws and oversight of them is pretty scary when you look into it.

  • source
  • parent
  • [–] 8 points 2 years ago (2 children)

    HOA’s should not have rules or enforcement power inside city limits. They are duplicating the role of the city. That is different than community maintenance off of public right of way.

  • source
  • parent
  • hideshow 4 child comments
  • [–] 1 point 2 years ago*

    I live in a townhouse that is one of 30 on our lot. All of the houses are a part of a land trust program that owners have to qualify in order to buy, a minimum income set to ensure applicants can pay a mortgage and a maximum set by the average income of the city. The houses are sold at cost and buyers agree to sell at that cost, plus a small percentage of equity gain per year lived in the house. Property taxes are fixed to this valuation agreement so nobody in the program is forced out of their home from real estate bubbles.

    The HOA is responsible for repaving our shared driveway, external window cleaning, gutter cleaning, ect. On three storied townhouses some of those tasks would be difficult for neighbors to manage themselves and kinda ridiculous for each individual to take care of, when pooling resources is a simpler solution.

    Your view of HOAs is entirely skewed by suburbia, which is terrible community planning from the onset.

  • source
  • parent