Posted by Ken (in Iowa) on September 12, 2003 at 17:33:58:
Hi, Michaela,
UCC (Uniform Commercial Code) Statements are for securing some sort of commercial financing. I am in the equipment leasing business, and those who underwrite equipment leases file UCC statements against the equipment they are purchasing and leasing to the end user. With a UCC filing against real estate, I would guess that some entity is attempting to further securitize their interest in something else. It’s essentially a lien against the property, like any other lien. It will need to be negotiated off of the property in some way in order to pass clear title.
Posted by michaela-ATL on September 12, 2003 at 17:17:08:
Came across a vacant house here in Atlanta and found out that the owner is in jail. When doing some cross checking under his name I came across 2 UCC Financing Statements, referring to 2 properties (45 acres and 102 acres tracts in Danville, California). In each is a secured party mentioned, who I assume might have a loan on it? No numbers are mentioned.
What exactly does that document signify? What’s the value to have it recorded here in Atlanta, when the properties are in California?
Michaela
Ps: there is a chance that this guy may need some money, so, he might be interested in selling these tracts at a good price. (He got a 20K loan from his father against the vacant house, which makes me assume he needs funds)
Re: UCC Financing statement - Posted by B.L.Renfrow
Posted by B.L.Renfrow on September 12, 2003 at 18:18:05:
It is essentially a lien against the individual against whom it is recorded. Here in NY, for example, I file a UCC statement against a mobile home buyer, since that is not real property. Your assumption that the individual against whom the statement is recorded is in need of money is likely accurate.