What is a junior lien holder?
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Also asked, what is a junior lien?
A second mortgage or junior-lien is a loan you take out using your house as collateral while you still have another loan secured by your house. Home equity loans and home equity lines of credit (HELOCs) are common examples of second mortgages.
Also, what is lien position? Lien position, also called lien priority, is the order of seniority in which the law recognizes lenders' claims against a property. It determines the sequence of who gets paid in the event of a foreclosure.
Also to know, can a junior lien holder foreclose?
Legally, all property lien holders can force a property into foreclosure, regardless of their seniority on property titles. It's much harder for a second mortgage lender to foreclose, however. That's because senior lien holders are paid first, with junior lien holders sometimes left with no sale proceeds to claim.
Is a lienholder an owner?
A lienholder (also known as a lienor) is a person, company, or financial institution that co-buys that property or sells it to you on credit. But as long as the lienholder has a financial stake in your vehicle, they're the legal owner, and their name will appear on important documents.