Escrow & Title
A Kentucky title search reveals a judgment lien recorded against the seller. At closing, the title company will typically:
ARefuse to insure the title and cancel the transaction
BRequire the lien to be paid from closing proceeds✓ Correct
CIgnore the lien if it is older than seven years
DTransfer the property subject to the lien
Explanation
A judgment lien must be satisfied before clear title can be conveyed. The title company will typically require the lien to be paid from the seller's proceeds at closing, then issue title insurance on the clean title.
Related Kentucky Escrow & Title Questions
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