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Lien vs forclosure what is the difference
Hello I'm new to this forum & I really want to get into real estate I have been doing my research but a few things are a lil bit confusing. Two of them are what is the difference between a Lien & a foreclosure?
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A lien is a payment obligation that has been attached to real property -- either through the recording process (in the case of a mortgage, deed of trust, mechanics lien, etc.) or pursuant to local law such as by the entry of a judgment, issuance of a water/sewer or tax bill, etc.
A foreclosure is what the lien holder does to enforce the lien in order to obtain payment -- this is done through a forced sale of the property.
- Tom Gimer
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