<p> So you just closed on your dream home which had several subcontractors working on it doing everything from siding to the electrical wiring. You are probably overall very pleased with the partisan work many of them did, but did you know that their is also some financial partisan work that must also be taken care of. </p><p> What I am speaking about is called a "lien waiver" and it releases your property from the claims of any subcontractor involved in the construction of it. Typically subcontractors do not sign lien waivers until the general contractor has paid them for their work, but some general contractors simply pocket the money allocated for a specific trades' work and you as the homeowner are left holding the bag. You do have to pay the subcontractor off, in most states, if you want to retain ownership of your home. </p><p> Many times the general contractor does something like this just before he files bankruptcy himself or skips town altogether. Since the subcontractor place a lien against the property in which his materials and efforts went into building, you can probably understand why he would file a lien in an attempt to collect his pay. </p><p> In one prime example of this, a major builder in my area had several million dollar homes under construction and had access to his own construction loans which contained about 2 million dollars in funds. When the market started to slow down, he took all the lines of credit out on fraudulent loan draws and left the country. He fled to South America where he has not yet been found, as far as I know. Now, in this particular instance, the bank was the victim, but it just as easily could have been a prospective buyer. If the construction loan was taken out in a buyers' name, the way a construction loan is usually done, the buyer would have possibly been on the hook <a href="https://www.home247.co/%E0%B9%80%E0%B8%8A%E0%B9%88%E0%B8%B2%E0%B8%9A%E0%B9%89%E0%B8%B2%E0%B8%99-%E0%B8%A5%E0%B8%B2%E0%B8%94%E0%B8%9E%E0%B8%A3%E0%B9%89%E0%B8%B2%E0%B8%A7/" alt="เช่าบ้าน ลาดพร้าว">เช่าบ้าน ลาดพร้าว</a> for those lines of credit. </p><p> There is a few things you can do to prevent this, but the best thing you can do is insist upon receiving a complete file of lien waivers before you sign at the closing table. The best precaution is to include it in the purchase and sales agreement. It simply requires that you mention that the general contractor agrees to provide a complete collection of originals copies of each subcontractor involved in the construction of the property. </p><p> As long as you have signed copies of your statements and payments for each, the subcontractor cannot file a lien on your property effectively. It simply takes a little organization and insistence on your part to make sure your investment and your purchase is protected. If you do not do it, you cannot expect anyone else to. </p>
