Whose Lien Has Priority In Fla. — The Mortgagee Or HOA?

Law360, New York (December 17, 2015, 11:14 AM EST) -- Every state has a law regarding recording of liens, and recording statutes typically fall within one of three categories: (i) a race statute (e.g., the first to record the lien has priority); (ii) notice (e.g., these statutes typically protect a subsequent lienholder provided such lienholder does not have notice of the prior lien, whether through actual notice, by means of the public records or otherwise); or (iii) race-notice statute (e.g., a prior lien is void against a later lien if the later lienholder was without notice of the prior lien and was the first to record the lien). Pursuant to Section 695.01, Fla. Stat., Florida is a notice state. This means that a subsequent mortgagee who provides a mortgage loan for value and without notice of a prior mortgage or other lien will prevail against the prior mortgagee or lien holder....

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