In real estate law, priority of lien refers to the ranking or order in which multiple liens against the same property are given legal precedence. This order determines which lienholders have superior rights to the property or its proceeds.
Priority is usually established by the date of recording, following the principle of first in time, first in right, although certain liens may take precedence by law. The priority of liens is especially important in foreclosure or sale proceedings, as it affects the order in which lienholders are paid.
