Is a mortgage considered a lien?

Yes. A mortgage is a voluntary lien you grant the lender as security for the loan. It is registered against your title and is discharged once the loan is fully repaid.

How do I find out if there is a lien on a property?

A title search through the provincial land registry reveals registered liens and charges. Buyers' lawyers routinely run this search before closing to confirm the title is clear.

Can I sell a home with a lien on it?

Generally the lien must be cleared first, often by paying it from the sale proceeds at closing. Until it is discharged, the lien clouds title and can prevent the sale from completing.

Mortgage Glossary

What is Lien?

A lien is a legal claim registered against a property that secures a debt or obligation owed by the owner. It gives the creditor a right to the property until the debt is paid. A mortgage is itself a type of lien, but liens can also arise from unpaid taxes, contractors, or court judgments.

Find my best mortgage Back to glossary

Quick answer

Also known as: lien, property lien, charge on title

Key points

A lien is a legal claim registered against a property as security for a debt.
A mortgage is a type of lien; so are tax, judgment, and contractor liens.
Liens are recorded on title in the provincial land registry.
They rank in priority, usually by registration date, affecting who is paid first.
Liens generally must be cleared before a property can be sold or refinanced.

Lien explained

A lien is a charge attached to a property's title that protects a creditor's interest. If the owner fails to pay the underlying debt, the lien gives the creditor a legal pathway to recover what they are owed, potentially by forcing a sale of the property. Liens are recorded in the provincial land registry so they are visible to anyone searching the title.

Liens rank in priority, usually by registration date, which determines who gets paid first if the property is sold. A first mortgage is typically the senior lien; later charges, such as a second mortgage, a builder's or construction lien, or a tax lien, sit behind it. Because liens cloud title, they generally must be cleared before a property can be sold or refinanced.

What a Lien is for

A lien exists to give creditors security for money they are owed. By attaching a claim to a valuable asset like real estate, it reassures lenders, contractors, and tax authorities that they have recourse if the owner does not pay, which in turn makes credit and services more available.

How it can help you

Understanding liens helps Canadian buyers and owners avoid nasty surprises, since an undischarged lien can block a sale or refinance. A title search reveals any existing liens before you commit. Lenderoo shops 40+ lenders free, so when you refinance you can plan around clearing liens and compare lenders comfortable with your situation.

When it comes up

Liens matter most when buying or selling a home. A title search may turn up an unpaid contractor's lien or a tax lien that must be cleared before closing, ensuring the buyer receives clean title free of someone else's debt.

Example: an unexpected lien at sale

Suppose you are selling your home for $600,000. During the title search, the buyer's lawyer finds a $20,000 builder's lien registered by a contractor who was never fully paid for a renovation.

Before the sale can close, that $20,000 lien must be discharged, usually by paying the contractor from your sale proceeds. Once the lien is removed from title, the buyer receives clear ownership and the deal can complete.

Have a question about lien?

Lenderoo shops 40+ lenders for free and matches you with a mortgage professional who explains every term — and finds your best rate.

Get pre-approved free Talk to an expert

Questions & answers

Lien: frequently asked questions

Common questions Canadians ask about lien.

Keep learning

Related mortgage terms

Title

The legal record of who owns a property and any claims or charges registered against it.

Read definition

Mortgage Discharge

The legal removal of a lender's charge from a property's title once the mortgage is fully paid off.

Read definition

Second Mortgage

An additional loan secured against a property that already has a first mortgage registered on its title.

Read definition

Collateral

Property pledged as security for a loan

Read definition

Property Tax

An annual tax on real estate charged by your municipality.

Read definition

Back to full glossary

Understand your mortgage with confidence

Lenderoo shops 40+ lenders for free and pairs you with a mortgage professional who keeps the jargon simple — and gets you a great rate.

Find my best mortgage Explore the glossary

Mortgage Glossary

What is Lien?

Find my best mortgage Back to glossary

Quick answer

Also known as: lien, property lien, charge on title

Key points

A lien is a legal claim registered against a property as security for a debt.
A mortgage is a type of lien; so are tax, judgment, and contractor liens.
Liens are recorded on title in the provincial land registry.
They rank in priority, usually by registration date, affecting who is paid first.
Liens generally must be cleared before a property can be sold or refinanced.

Lien explained

What a Lien is for

How it can help you

When it comes up

Example: an unexpected lien at sale

Suppose you are selling your home for $600,000. During the title search, the buyer's lawyer finds a $20,000 builder's lien registered by a contractor who was never fully paid for a renovation.

Have a question about lien?

Lenderoo shops 40+ lenders for free and matches you with a mortgage professional who explains every term — and finds your best rate.

Get pre-approved free Talk to an expert

Questions & answers

Lien: frequently asked questions

Common questions Canadians ask about lien.

Keep learning

Back to full glossary

Understand your mortgage with confidence

Lenderoo shops 40+ lenders for free and pairs you with a mortgage professional who keeps the jargon simple — and gets you a great rate.

Find my best mortgage Explore the glossary