Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Tax, SDIRAs & Cost Segregation
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 13 years ago,

User Stats

1,761
Posts
1,299
Votes
Eric M.
  • Flipper/Rehabber
  • Louisville, KY
1,299
Votes |
1,761
Posts

Mechanic's Lien Question

Eric M.
  • Flipper/Rehabber
  • Louisville, KY
Posted

My attorney is out of town for the holiday, so I will see what you guys think.

I have never had to deal with a Mechanic's Lien before.

Had a painter who I hired to work on a flip house. I gave him a Deposit check for him to start the next week and found out later that day that this was not a guy I wanted to hire (don't think the reason is important). The work was not begun. I stopped payment on the check, told him I was cancelling the contract and he flipped out.

He called me from his attorney's office the next day saying the check was a contract and he was filing a mechanics lien if I didn't pay up. I said go for it.

Several weeks later no lien has been filed. I bought the property at a Sheriff Sale and typically the flips are just a few months so I often don't even record the deed until the time of the sale.
I am wondering if the fact that I have not recorded the deed is what prevents him from filing the lien (or maybe he was denied by a judge or was just bluffing). And wondering if not recording the deed until the end isn't therefore a smart legal strategy to avoid being scammed by a bogus lien in the future.

Thanks

Loading replies...