An Ohio borrower obtains a mortgage and simultaneously records it. A contractor who provided labor on the property files a mechanic's lien 60 days later, but the work was performed before the mortgage was obtained. Under Ohio law, the mechanic's lien:
Correct Answer
A) May have priority over the mortgage because Ohio mechanic's liens relate back to the commencement of work
Under Ohio's mechanic's lien statute (ORC §1311.06), a mechanic's lien relates back to the date the work commenced or materials were first furnished. If the work began before the mortgage was recorded, the mechanic's lien may have priority over the mortgage, even though it was filed later.
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James and Linda purchase a home in Ohio and obtain a joint mortgage. James dies, and his will leaves his share of the property to his brother. Under Ohio law, if the property was held as joint tenants with right of survivorship, what happens to the mortgage?
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In Ohio, the real estate closing process is commonly referred to as: