Mechanic's Lien
Mechanic's lien definition. Understand the legal right of contractors and subs to secure payment through a claim against a property.
Calculation Formula
Lien Amount = Unpaid Contract Sum + Legal Fees + Interest Real Contractor Example
A contractor finishes a kitchen but the owner refuses the final $12,000 payment. The contractor files a lien to prevent the home from being sold until they are paid.
Put This Into Practice
Knowing the definition is step one. RemodelFin tracks this in real time on every job — no spreadsheets.