Liens

What is the name of your state (only U.S. law)? South Carolina

I loaned my daughter-in-law and her husband a substantial amount of money as a downpayment on their house three years ago. Is there a way to put a lien or some other mechanism to protect the money in case they should lose the house to foreclosure?

How did you "secure" the loan at the time? If there is a foreclosure, having a lien now will likely NOT protect you unless there is sufficient equity. Most jr. lienholders lose out in FC unless they buy out the first and can sell for enough to recover all or part of theirs, too.

211victoria said:

I loaned my daughter-in-law and her husband a substantial amount of money as a downpayment on their house three years ago. Is there a way to put a lien

Click to expand...

Yes, you can file a lawsuit, get a judgment then place a judgment lien on the property.

or some other mechanism to protect the money in case they should lose the house to foreclosure?

Click to expand...

No. Even a judgment lien is secondary to a mortgage lien (foreclosure).