Federal property lien question

[ethanwa79]

What is the name of your state? - Washington State, King County

Here's my story:

Eight years ago I got in trouble with the law. I got a criminal charge against me and a judgement went against me for $110,000. Since then I have been paying restitution in monthly payments.

Fast forward to two weeks ago. My wife and I found a house we liked, put an offer down, and the Title on the house came back stating I had a property lien against me from the Department of Justice. It was for the restitution, but I had NO clue I had a property lien for it. I just figured that when I got my judgement against me, since I had been making payments, there was no reason for something like a lien. Anyway, we lost the house and now cannot buy a house because of the lien.

Here's my question:

- Was I ever supposed to be notified by law that a lien was placed against me? It seems strange that eight years later I would find out.
- If so when was I supposed to be notified?
- And if so, by whom was I supposed to be notified?
(King County? Washington State? or the Federal government?)

Thanks,

Ethan

 

[justalayman]

. My wife and I found a house we liked, put an offer down, and the Title on the house came back stating I had a property lien against me from the Department of Justice.

HUH?!? How would a house you were attempting to buy show a lein involving you?
There could be no lein involving you against property you do not own.

 

[seniorjudge]

What is the name of your state? - Washington State, King County

Here's my story:

Eight years ago I got in trouble with the law. I got a criminal charge against me and a judgement went against me for $110,000. Since then I have been paying restitution in monthly payments.

Fast forward to two weeks ago. My wife and I found a house we liked, put an offer down, and the Title on the house came back stating I had a property lien against me from the Department of Justice. It was for the restitution, but I had NO clue I had a property lien for it. I just figured that when I got my judgement against me, since I had been making payments, there was no reason for something like a lien. Anyway, we lost the house and now cannot buy a house because of the lien.

Here's my question:

- Was I ever supposed to be notified by law that a lien was placed against me? It seems strange that eight years later I would find out.
- If so when was I supposed to be notified?
- And if so, by whom was I supposed to be notified?
(King County? Washington State? or the Federal government?)

Thanks,

Ethan

You were notified of the lien in your criminal proceedings. Check the paper work. It is there.

It will affect any real estate you own or try to buy until it is paid off.

However, if you have been paying on the lien, you could ask your probation if it is possible for you to get a partial release of it concerning a piece of real estate you want to purchase.

 

[ethanwa79]

seniorjudge - I never saw it in any of the paperwork. What should I do? Also, the DOJ will do a subordinate lien but not a partial release. It's screwing me right now cause no banks will do a subordinate lien when the loan is 100% financed. I wish the DOJ would just do a partial release.

justalayman - You can get a lien against you without actually owning property. As soon as I purchase property, the lien will automatically attach. The Title company checks both the buyer and the seller for liens in the county you live in and are moving to.

 

[justalayman]

justalayman - You can get a lien against you without actually owning property. As soon as I purchase property, the lien will automatically attach. The Title company checks both the buyer and the seller for liens in the county you live in and are moving to.

Not in my area. I call up and ask for a title search on a property with no info given for a buyer. Maybe in drug ridden King county it is standard practice.

 

[weenor]

Not in my area. I call up and ask for a title search on a property with no info given for a buyer. Maybe in drug ridden King county it is standard practice.

He's actually got what is characterized as a judicial lien for the restitution amount. The title company ran a check on him personally. Any amount that has been reduced to a judgment can attach to any property he owns or acquires. Lenders simply don't to lend money when someone else (in this case the state) could have a lien that would interfere in their collection efforts upon foreclosure.

 

[racer72]

What you have is called a debtor's lein, it is automatic in the state of Washington for court ordered fines and restitution. Check your credit report, it is listed there too. From what I have seen, as a resident of King County, the only way around it is to either pay off the lein or pay a 20% down payment. The large down payment gives a possilble lender a cushion should you get in trouble again and the county starts siezing property. You don't say how much you still owe but a debt that big is going to scare off almost any possible lenders and title insurance companies. Good luck buying any housing with that lein in place, you'll need it.

 

[justalayman]

He's actually got what is characterized as a judicial lien for the restitution amount. The title company ran a check on him personally. Any amount that has been reduced to a judgment can attach to any property he owns or acquires. Lenders simply don't to lend money when someone else (in this case the state) could have a lien that would interfere in their collection efforts upon foreclosure.

Thanks weenor.

From the subsequent posts that is what I understood and then it made (more) sense.

When the OP posted this:

and the Title on the house came back stating I had a property lien against me from the Department of Justice

It threw me. It infers a problem with the title of the house he was attempting to buy. I just read the post too literally. The title company discovered the lien that would be placed against the property therefor no title insurance policy available to the lender.

Apologies to the OP. It was apparently a bit early for me.

.

 

[ethanwa79]

Check your credit report, it is listed there too.

Actually, I'm lucky enough to not have this on my credit report, so it only has affected me with buying a house. I have been able to get credit cards, car loans, etc. just fine. That is why I never knew about the lien until two weeks ago, 8 years after my judgement.

Back to the root of my questions:

Was I ever supposed to be legally notified of this lien???