hard · National Real Estate Exam contracts

A buyer under an installment land contract discovers a mechanic's lien has been filed against the property for work ordered by the seller before the contract began.

If the seller refuses to clear the lien, what is the buyer's best remedy to ensure they receive the title they bargained for?

  1. Specific performance to compel the seller to deliver marketable title according to the contract.
  2. A quitclaim deed from the contractor who filed the lien.
  3. The buyer can unilaterally declare the contract void and keep the property without further payment.
  4. Novation, by substituting the contractor as the new seller in the land contract.

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