Regulations...

No-Lien Regulations

Reminder
Real estate agents, closing companies and lending institutions are advised that all no-lien requests must be made by using the Borough's No-Lien Application Form.  Requirements differ depending upon whether the request is for a refinance or for a sale of a home.  All requirements are explained and listed on the Application.  There is a fee for the no-lien letter that must accompany the Application.  In addition to the No-Lien Application Form and fee, a Wage Tax Questionnaire Form is also required.  The form is to be completed by the buyer if the property/house is being sold and by the current homeowner/renter if the property is being refinanced. 

Requirements

• Requests for lien letters must be received at least seven working days in advance of closing and must be requested using the Borough's No-Lien Application Form.

• A test of the existing sewerage system must be completed and defects corrected or alternate security provided prior to the issuance of a no-lien letter. The homeowner must choose a plumber from the Borough’s List of Registered Plumbers and have the plumber the Sanitary Sewer Inspector at the Borough Office (412) 963-1100 Ext. 126 to make arrangements for the test. The Borough performs the test in conjunction with a plumber retained by the Seller. The Borough charges a fee (the plumber will have a separate fee) for the test, which must be paid prior to the dye test being scheduled.  (See Dye Test Payment Form.)  Dye Tests are generally valid for one year unless the home is changing owners. HAVE THE PLUMBER CONTACT THE BOROUGH OFFICE TO SCHEDULE A DYE TEST AS SOON AS POSSIBLE TO AVOID ANY DELAYS IN OBTAINING A NO-LIEN LETTER, ESPECIALLY IF REPAIRS/CORRECTIONS ARE NEEDED.

• A Wage Tax Questionnaire Form must be completed, signed by the prospective purchasers and returned to the Borough Office. (If this is a request for refinancing purposes, the Wage Tax Questionnaire Form must be signed by the current homeowner. A Wage Tax Questionnaire Form is required for every refinance request, even if the homeowner(s) have recently refinanced.)

• A forwarding address for the SELLERS must be provided.

• The Borough charges a fee for the issuance of a no-lien letter that must be paid prior to the issuance of a no-lien letter.

• Prior to issuing a no-lien letter, an investigation is made to verify that current and prior years’ earned income taxes (EIT) have been paid. It is strongly recommended that you inform the Sellers/Current Owners of this procedure to minimize any delay in obtaining a no-lien letter. Address: Jordan Tax Service 102 Rahway Rd. McMurray, PA 15317 412-345-7964

• For refinancing purposes the Borough only requires: 1.) Wage Tax Questionnaire Form completed by homeowner(s) 2.) no-lien fee payable to the Borough of Fox Chapel 3.) Earned Income Tax payment verification.