Mortgage is commonly understood to be a lien on your home. Liens have an effect on ownership of the property, and up until you pay it off in full, the lender owns an interest in it. The lender could take a type of recourse if you are delayed in mortgage payments, since this is what is guaranteed by this form of security. In order to get full ownership of the home once more, usually this is done by initiating foreclosure procedures.

More than just a mortgage can encumber your home through securing a lien versus it, although most people aren't conscious of this. Sometimes direct contact is necessary with the builder when you're constructing your new home. On the other end of the spectrum, maybe you already possess a house but wish to touch base with a builder about making enhancements to it. A mechanics lien can be included if you aren't paying in full when the contract is formed.

A mechanics lien is a form of security interest in the title of your property, much like a mortgage. Any supplier of work or materials going to the enhancement of your home could benefit from it. Liens could be secured against personal and real property.

Mechanics liens have several alternate names when it refers to real property, such as construction liens, materialman's liens and supplier's liens. It is often called as a laborer's lien for people who supply the labor. For architects and others who design the improvement, you might also see it referred to as a design professional's lien.

Varying by state, mechanics liens exist solely through legislation. Performance of work or when a supplier hands out material that goes toward the property's improvement is how the lien is generally established. Similar to mortgages, enforcement of mechanics liens is done through judicial foreclosure deals. If left unpaid, a court could dictate that the home in question be sold in a foreclosure sale so the mechanics lien can be paid with the proceeds.