Lien waiver (lien release)

Contractors and suppliers who are not paid can often file a mechanic's lien against the property. A lien can hold up your sale or refi. Lien waivers are how you prove each payment cleared that right.

Conditional vs unconditional

• Conditional: signed before you pay. It takes effect only once the payment actually clears.
• Unconditional: signed after the money clears. It releases the lien right for that amount with no conditions.
• Partial vs final: partial waivers cover progress payments; a final waiver covers the whole job.

How it works

In Run The Deal's fix and flip project management, you set the waiver type on each logged payment, attach the signed file, and see payments with no waiver under Needs attention. The app warns you but does not block a payment without a waiver. That choice is yours.

What to watch

• Subcontractors and suppliers may have lien rights too, not just your general contractor.
• Waiver forms and deadlines vary by state. Some states require specific statutory forms.
• Never sign or accept an unconditional waiver before funds clear.

This is general information, not legal advice. Check with your attorney about your state's rules. Track payments by line with the fix and flip budget template.