Environmental

What is an 'environmental lien' and how can it affect a real estate transaction?

AA lien placed by a homeowners association for landscaping violations
BA lien that a government agency may place on contaminated property to recover cleanup costs, potentially affecting the property's title and marketability✓ Correct
CA lien for unpaid environmental permit fees
DA private lien placed by environmental consulting firms

Explanation

An environmental (or Superfund) lien can be recorded against a contaminated property by the EPA or state environmental agencies to secure reimbursement of cleanup costs. Environmental liens can cloud title and complicate or prevent property sales until resolved.

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