NY Real Estate Exam · Free Sample Questions

NY Real Estate Liens Practice Questions

3 free preview questions from Unlocked's NY exam question bank. Full access unlocks all questions across every topic, with detailed explanations.


Question 1 · Lien Priority

A property is encumbered by: (1) a first mortgage recorded in 2018, (2) a judgment lien docketed in 2020, and (3) delinquent property taxes from the current year. In a foreclosure sale, what is the correct order of payment from sale proceeds?

  1. AFirst mortgage → judgment lien → property taxes
  2. BJudgment lien → first mortgage → property taxes
  3. CFirst mortgage → property taxes → judgment lien
  4. DProperty taxes → first mortgage → judgment lien
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Correct answer: DProperty taxes → first mortgage → judgment lien

Property tax liens are ALWAYS first in priority, regardless of recording date. This is the universal exception to the 'first in time, first in right' rule. After property taxes, liens are paid in order of their recording/docketing date: first mortgage (2018) before the judgment lien (2020). The correct order is: property taxes → first mortgage → judgment lien.

Question 2 · Mechanic's Lien

A general contractor finishes work on a single-family home on August 1. The homeowner refuses to pay. What is the LATEST date the contractor can file a valid mechanic's lien in NY?

  1. AApril 1 (8 months)
  2. BDecember 1 (4 months)
  3. COctober 1 (2 months)
  4. DFebruary 1 (6 months)
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Correct answer: BDecember 1 (4 months)

Under NY Lien Law, a mechanic's lien on a single-family dwelling must be filed within 4 months of the last date labor or materials were furnished. Work finished August 1 → deadline is December 1. For all other improvements (multi-family, commercial), the deadline is 8 months. This distinction is frequently tested.

Question 3 · Types of Liens

Which of the following is a GENERAL lien (as opposed to a specific lien)?

  1. AA judgment lien docketed against a property owner
  2. BA mortgage lien on a specific parcel
  3. CA property tax lien on a specific parcel
  4. DA mechanic's lien filed against a specific property
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Correct answer: AA judgment lien docketed against a property owner

A judgment lien is a general lien. It attaches to ALL real property owned by the debtor in the county where it is docketed, not just one specific property. Mechanic's liens, mortgage liens, and property tax liens are specific liens. They attach to one specific parcel.

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