Lowell, MI asked in Real Estate Law for Michigan

Q: Our renters have defaulted in their rent. They sold their previous home on land contract to their kids.

Their kids have defaulted on the LC and are now trying to sell the home. Can we place a lien against the home?

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2 Lawyer Answers
Kenneth V Zichi
Kenneth V Zichi
  • Fowlerville, MI
  • Licensed in Michigan

A: If I understand the question correctly, you never had any interest in the previous home you want to place a lien against. If that is true, then without a judgment against them you cannot lien the home.

You CAN get a money judgment against them and then place a 'creditor's lien' against any of their property, including a house they have a legal or equitable interest in, but you need that judgment first. If all you have is a rental contract with them, you need to begin a landlord/tenant lawsuit to move them out, and limit your damages and you'd be wise to hire a local licensed attorney to help with that. Your attorney can talk about the costs and benefits of a money judgment and you can make a determination from there if that makes sense. OFTEN in landlord/tenant cases, a money judgment is not the best way to proceed if you'd like to get the property back on the rental market as quickly as possible.

Again, seek that local legal help!

-- This answer is offered for informational purposes only and does not constitute legal advice or create an attorney/client relationship.

I am licensed to practice in Michigan only. Please seek competent local legal help if you feel you need legal advice

1 user found this answer helpful

David Soble
David Soble
  • Farmington Hills, MI
  • Licensed in Michigan

A: I don't see why you would need to put a lien on your home when you are selling it under a land contract. You, as the seller, should still have title in your name. The buyer needs a deed from you to do anything with it including closing on the sale of the home. Should they wish to sell the property that is the subject of the land contract they need your deed. That assumes of course, that the land contract was properly drafted in the first place.

See www.provenresource.com/land-contract-law/for more information.

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