Property OwnershipIntermediateAlaska Exam

Which of the following correctly describes a 'lien' in Alaska real estate?

AAn ownership claim to real property
BA legal claim against property used as security for a debt or obligationCorrect
CA restriction on the use of property imposed by a private party, in general
DA government requirement for a specific use of land

Why A legal claim against property used as security for a debt or obligation Is Correct

Answer B: A legal claim against property used as security for a debt or obligation

A lien is a legal claim against property that serves as security for a debt or obligation. Unlike ownership, a lien does not give the lienholder the right to possess or use the property — it gives the right to have the debt satisfied from the property's proceeds if the debt is not paid.

Exam Tip: Property Ownership

Property ownership questions test the bundle of rights and different forms of ownership. Know the differences between joint tenancy, tenancy in common, and community property, including the right of survivorship.

Key Property Ownership Terms in This Question

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