Can we be sold a house with a lien when previous owner signed off stating there were no liens on home?

Question by Jaime: Can we be sold a house with a lien when previous owner signed off stating there were no liens on home?
Help! What legal stance do we have, if any? We are military and have a renter in our house. Recently we tried to refinance and found out that the previous homeowner had a lien still on the home even though we signed papers during closing that there was no lien against the house. What does this mean? What grounds do we have? Who owns the house? What now? Help!!!!!

Best answer:

Answer by Jeff
You don’t own all of the house, whoever has the lein now owns part of your house as well. You will have to take this to court or at least get real legal advice from a lawyer. Depending on your local laws you might be able to undo the whole deal, sue for the amount of the lein plus interest or penalty, sue for fraud etc. There are lots of possible outcomes and if it is a large amount of money it is worth a meeting with a lawyer. The seller lied to you in a legal contract and there are ways to fix this but it might not be fast or cheap.

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