Lis Pendens
A lis pendens is a public notice filed in the county records that warns everyone: “Hey, there’s an active lawsuit involving this property” — and it effectively freezes the property from being sold or refinanced.
The Latin translation is “pending litigation,” and that’s exactly what it signals. Someone’s suing over ownership, boundary disputes, foreclosure, or contract violations related to the property. Once a lis pendens is recorded, any buyer who purchases the property takes it subject to the outcome of the lawsuit. No sane buyer will touch it.
Real-World Example
You sell your home, but the buyer claims you hid a major foundation problem. They file a lawsuit and record a lis pendens. Now your property is flagged in public records. Even if you find another buyer willing to pay more, the title company won’t issue title insurance with an active lis pendens. The deal is stuck until the lawsuit resolves — which could take 6 months to 3 years.
Lis pendens show up in title searches. If you’re buying a property and the title report reveals one, your lender will not fund the loan until it’s resolved. Period.
Watch out: A lis pendens can be filed by anyone who files a lawsuit involving the property — even if the lawsuit is frivolous. Some unscrupulous parties file them as a pressure tactic to force settlements. If you’re hit with a bogus lis pendens, you can file a motion to expunge it. In many states, if the court finds the lis pendens was filed in bad faith, the filer pays your attorney fees.
The timeline matters. A lis pendens stays active for the duration of the underlying lawsuit — which could be months or years. During that entire period, the property is effectively unmarketable. Some states have time limits: California requires renewal after 3 years, while other states let the lis pendens last indefinitely until the case is resolved.
Resolving a lis pendens requires either settling the underlying lawsuit, winning in court, or getting the filer to voluntarily withdraw it. An attorney specializing in real estate litigation typically charges $3,000-$10,000 for a lis pendens dispute. Check with the CFPB for your rights if the lis pendens is related to a mortgage dispute. See the glossary for related terms.
Can I sell my house if there’s a lis pendens on it?
Technically you can find a buyer, but practically it’s nearly impossible. No title company will insure the title, and no lender will fund a mortgage on a property with an active lis pendens. Cash buyers might take the risk at a steep discount (30-50% below market), but they’re betting they can resolve the litigation. Your best bet is to resolve the lawsuit first.