Definition
A lien is a creditor's legal claim against your property. Liens must be paid off before you sell, as buyers won't accept property with liens against it.
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A lien is a creditor's legal claim against your property, used to secure repayment of a debt. The most common lien is a mortgage lien used to secure the home loan. If you fail to pay, the lienholder can foreclose and sell the property to recover the debt. Other types of liens include tax liens, judgment liens, and mechanic's liens. Liens must be paid off before selling the property, as the buyer receives the property free and clear of most liens.
Pro Tip
Always identify all liens. They must be satisfied before ownership transfers.
Example
The bank held a mortgage lien against the property to secure the home loan.