In a temperamental real estate environment Washington court’s understand how fragile making a sale can be which is why they allow property liens to be handled with a surety bond. The transfer of lien bond in the state of Washington allows people to go through with a sale of the property while still respecting any liens that may be placed there on.
Why Are Liens Placed On A Property?
There are several reasons why a lien may be placed on a property. For example, the property owner could owe a contractor for work completed on the house. A recourse for the contractor to receive their money is to place a lien on the property until they are paid. This lien protects those owed money so when the property owner decides they need to sale the property the court wants to make sure those owed are not left out in the cold.
Bonds Protect People
By taking out a transfer of lien bond the debts owed will be covered. It also protects the party taking out the lien should the sell of property be deemed unlawful. The bottomline is that the court wants to protect all interested parties from a financial loss. If the property owner can sale the house, for instance, then they will be in a better position to pay off the debt which caused the lien in the first place. The court allows this opportunity as long as a surety bond covers all the moving pieces including court fees.
How Much Does A Transfer of Lien Bond Cost?
The cost of a transfer of lien bond is going to depend on several factors including property value, how much the lien is for, and any local ordinances. While the cost may fluctuate the protection never waivers. Having this type of surety bond protects a person or business from dealing with lawsuits concerning liens. It shows the court that the liens will be respected and that the transfer of lien is done in just faith and without malicious intent.