QUESTION

What happens to a lien against a home when the lien holder dies?

Asked on Jun 22nd, 2021 on Wills and Probate - Oklahoma
More details to this question:
In March of 2012 my husband and his father executed a Secured Term Promissory Note and security agreement in which Father gave son 10,000 and son gave father a security interest in a property in Barrow County, GA. The loan was due or payable in March of 2015. At that time Father had cancer and verbally stated he forgave the loan, but did not execute paperwork before he passed in April of 2015. Father was living in North Carolina and passed without a will. His wife then passed without a will. Father had three sons by a previous marriage and wife had three daughters by a previous marriage. 1- Does this type of promissory note/lien ever expire? 2- If it does not expire who owns the note? Can the note be removed if all parties sign? 3- Is it possible to sell the house without removing the note, and place the $10000 in escrow pending the outcome of a probate court judgment? or does the note have to be removed prior to sale?
Report Abuse

1 ANSWER

Wills Attorney serving Austin, TX
2 Awards
The lien and the right to collect the money becomes the property  of the decedent's estate.  All parties can sign and file a Release of Lien in the county deed records.  This should be done before attempting to sell the property:  it is doubtful a buyer would want to assume such a lien.
Answered on Jun 23rd, 2021 at 5:34 AM

This is general information. It cannot substitute for a personal consultation with an attorney. It is not intended to be legal advice or imply an attorney-client relationship.

Report Abuse

Ask a Lawyer

Consumers can use this platform to pose legal questions to real lawyers and receive free insights.

Participating legal professionals get the opportunity to speak directly with people who may need their services, as well as enhance their standing in the Lawyers.com community.

0 out of 150 characters