Escrow & Title
What is the legal priority of a mechanic's lien in Florida?
AAlways first priority, ahead of all mortgages
BPriority dates from when work commenced, potentially superseding later-recorded mortgages✓ Correct
CPriority is always after all recorded mortgages
DMechanic's liens have no priority and are settled after all other claims
Explanation
In Florida, mechanic's liens (construction liens) have a priority date based on when the first work commenced (visible commencement), not when the lien was recorded. This can give a mechanic's lien priority over a mortgage recorded after work began.
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Key Terms to Know
Lien
A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
Adjustable-Rate Mortgage (ARM)A mortgage with an interest rate that changes periodically based on a financial index, usually after an initial fixed-rate period.
DeedA written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).
EasementA non-possessory right to use another person's land for a specific purpose.
State-Specific Concepts
Mechanic's Lien
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