What is the effect of a lien on a property?

A lien on a property serves as a legal claim against that property, which is established to secure the payment of a debt or obligation. When a lien is placed on a property, it indicates that the lienholder has a right to pursue a claim against the property if the debt is not satisfied. This claim must be settled before the property can be sold or transferred to a new owner, thus making "creating a claim against the property until the debt is satisfied" the correct interpretation of its effect.

In this context, it's important to understand that a lien does not enhance the market value of the property. In fact, it can often negatively impact the property’s marketability because potential buyers typically prefer to acquire property that is free of liens. Additionally, a lien does not guarantee the property against all claims; rather, it establishes a priority for the specific debt associated with the lien. Lastly, the existence of a lien does not indicate a successful sale of the property; in some cases, it could suggest unresolved financial issues that may deter buyers. Thus, the essence of a lien is that it secures a creditor's interest until the associated debt is resolved.