Property lien on settlement in MI

[Freeeedom]

Michigan. I quit claimed a property in exchange for payment when house is sold. Anyone know how to put a lien on realestate in order for the agreement to show up on a title search??? Thanks so much.

 

[nextwife]

Do you have a written agreement to pay you?

 

[justalayman]

explain what you are doing. It makes no sense in the manner you have described it. Why would you deed the property to another party without payment especially if the intent is for them to sell the property?

 

[mistoffolees]

explain what you are doing. It makes no sense in the manner you have described it. Why would you deed the property to another party without payment especially if the intent is for them to sell the property?

As I understand it, it's not that unusual a situation. Court grants home to Party A, although home is to be sold and Party B is to get some portion of the equity.

Home has not yet been sold and Party B signed a Quit Claim deed granting their interest in the home to Party A, relying on the divorce decree to protect their interest (big mistake IMHO).

He is asking if he can file a lien against the home to ensure that he gets what is his right under the divorce decree even though he has alreadysigned the quit claim deed.

I'm not an expert, but I think it's unlikely. You signed a quit claim deed which says you give up any rights to the property. Your only recourse is likely to be the divorce court to ensure that your ex pays you your share after the home is sold. I doubt if you can file a lien under these conditions.

 

[justalayman]

I guess I could have figured that out if I had paid attention to what forum this is in

he should not have deeded the property until it was sold. There is no reason to.


I'm not positive of it but I believe he can register a lien against the house. He does have a court order granting him a portion of the proceeds when sold so it would make sense to allow such. I am just not sure the proper mechanism that would allow a lien to be secured.

 

[nextwife]

The payment mechanism should be secured BEFORE a quit claim is delivered.

Additionally, are you on the mortgage for this property?

 

[mistoffolees]

I'm not positive of it but I believe he can register a lien against the house. He does have a court order granting him a portion of the proceeds when sold so it would make sense to allow such. I am just not sure the proper mechanism that would allow a lien to be secured.

I'm not sure that's the case. The court order was in place before he filed the quit claim. I believe that means that the quit claim 'trumps' the court order.

Even if there is a way to file a lien, for others reading this thread. DO NOT FILE A QUIT CLAIM DEED UNTIL YOU HAVE RECEIVED EVERYTHING YOU ARE ENTITLED TO.

 

[justalayman]

the court order has two parts. The required conveyance of title (not even sure that is the case here. it might simply have been an improperly acted upon order to allow the sale of the property) and the separate action of the the other party owing our OP part of the proceeds of the sale of the property.

They are separate isssues and the money has nothing to do with the interest in the property. The money is a court ordered division of the proceeds of the sale irrespective of the title interest. As an example; man and wife divorce. wife had title in her name only the entire time of the marriage. Judge orders wife to pay husband 50% of the appreciation of value realized during time of marriage and requires house to be sold if wife cannot acquire funds in any other manner.

Husband has a justifiable lien on the property simply due to the fact he is due proceeds from the sale of the property not because he ever had any title interest in the property but that the court has required he be paid part of the proceeds of the sale of the property. This simply requires the closing agent to pay off the lien to allow a clear title to be passed to buyer. It is not a matter of interest in the house but simply a matter of the wife owing the husband and since the proceeds are due specifically from the house moneys, that allows the lien to be placed on the house so the house cannot be sold without husband receiving his due.

here is an example of how it can work: Divorce Liens

 

[mistoffolees]

Husband has a justifiable lien on the property simply due to the fact he is due proceeds from the sale of the property not because he ever had any title interest in the property but that the court has required he be paid part of the proceeds of the sale of the property. This simply requires the closing agent to pay off the lien to allow a clear title to be passed to buyer. It is not a matter of interest in the house but simply a matter of the wife owing the husband and since the proceeds are due specifically from the house moneys, that allows the lien to be placed on the house so the house cannot be sold without husband receiving his due.

That seems reasonable. He should probably see an attorney to help draft that document, though.

 

[justalayman]

That seems reasonable. He should probably see an attorney to help draft that document, though.

absolutely and to see the lien is attached properly.

 

[Freeeedom]

A little more info

The settlement agreement regarding that property ( a spec house I built) was a one liner. "Wife is to make a good faith effort to sell and pay husband 400k when sold" The day after the divorce, she raised the price and has since rented it out. So much for the good faith. The agreement was merged into the divorce judgement, I assume I can take it back to divorce court to be resolved. I'll be looking for either a payoff or a structured plan to sell it. It's been three years now, time to get it resolved. Ouch!

 

[mistoffolees]

The settlement agreement regarding that property ( a spec house I built) was a one liner. "Wife is to make a good faith effort to sell and pay husband 400k when sold" The day after the divorce, she raised the price and has since rented it out. So much for the good faith. The agreement was merged into the divorce judgement, I assume I can take it back to divorce court to be resolved. I'll be looking for either a payoff or a structured plan to sell it. It's been three years now, time to get it resolved. Ouch!

Yes, you can ask for a modification to get paid now - or to force the house to be sold.

However, what you just described above is not what you said in your first post. This wording does not require you to be paid from sale proceeds, so you may have a much harder time getting a lien.