Are judgment liens released from title after foreclosure sale and sheriffs deed is issued?

UPDATED: Oct 2, 2022

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Are judgment liens released from title after foreclosure sale and sheriffs deed is issued?

Im looking into buying a property at auction in
council bluffs, ia. It appears there are 2 judgement
liens on the title in addition to the primary mortgage.
Are these liens removed from the title when the
house sells at auction?

Asked on August 13, 2019 under Real Estate Law, Nebraska


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

Assuming that the mortgage predates (was recorded before) the judment liens, then the foreclosure sale wipes out the liens. If the foreclosure sale produces surplus funds (more than is required to pay off the mortgage and pay the costs of the sale), those surplus funds go to pay off the liens (before the former owner gets any surplus), but anything not paid off during the foreclosure process if simply eliminated, because older liens or securty interests, like a purchase money or first mortgage, wipe out later liens when foreclosed upon.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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