Which of the following statements about liens is FALSE? 1. There may be multiple liens against a property. 2. Liens never convey ownership. 3. An owner acquires existing liens along with the property. 4. Recording payment of a lien terminates the lien.

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Krish

25 May, 03:45

Which of the following statements about liens is FALSE? 1. There may be multiple liens against a property. 2. Liens never convey ownership. 3. An owner acquires existing liens along with the property. 4. Recording payment of a lien terminates the lien.

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Answers (1)

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Shyann Duran · Answer 1

2) Liens never convey ownership.

Explanation:

Generally, liens do not convey ownership except for mortgage liens. A mortgage lien is a type of voluntary lien that conveys legal title to the lender. This is done to allow banks (and other lending institutions) to have an easier way to execute a mortgage lien, therefore, if you default on a mortgage, the bank sell the property fairly easily. All other types of liens do not convey legal title, and they require a legal process before acting.