Oh, we picked a fun topic for you this week. Let’s talk paid receipts and lien waivers. Oh my!
Are these documents exciting?
Yeah, right.
Are they necessary?
You betcha!
Remember the last time you sold your home, and your trusted real estate professionals at KBCO made you round up a bunch of paid receipts and lien waivers?
Believe it or not, these simple documents are absolutely critical in a real estate transaction. Paid receipts and lien waivers provide formal confirmation that work has been completed, and paid for – simple as that.
If a contractor has not been paid for work completed on a home, he could file a lien against the property adding a blemish to the title work. So, in order for a buyer to receive title insurance on the property, turning these in is a must!
So, it’s not that we don’t believe that you paid for the work. It’s simply an objective way for all parties to ensure there are no outstanding payments.
Pro tip: Any time you have work completed on your home (even if you’re not planning to sell soon), go ahead and collect those paid receipts and lien waivers. Save a copy to your online filing system, and watch your favorite Realtor® swoon!