Texas Real Estate State Practice Exam

Which type of lein is created by the borrower's actions such as taking out a mortgage?

1. Involuntary lein

2. Specific lein

3. 43,560 square feet

4. Voluntary lein

The correct answer is: Voluntary lein

The correct answer is related to the concept of how liens are established based on the actions taken by the borrower. A voluntary lien is created when a borrower willingly enters into an agreement, such as taking out a mortgage. By signing the mortgage documents, the borrower acknowledges that the lender will have a legal claim (or lien) against the property in exchange for the loan. This distinguishes it from involuntary liens, which arise without the borrower's consent due to actions like unpaid taxes or legal judgments. A specific lien pertains to a specific piece of property, but it does not address the voluntary nature of how the lien was created. The reference to "43,560 square feet" is unrelated to the question, as it refers to the measurement of an acre, not a type of lien. Thus, the nature of a voluntary lien accurately captures the condition under which the lien is established, highlighting the borrower's conscious decision to create that obligation.