What is typically the first priority of registered interests in property?

The first priority of registered interests in property typically goes to property taxes. This means that when a property is sold or when there are payments made from the proceeds of a sale, any outstanding property taxes owed will be addressed before other registered interests like mortgages or lease agreements.

Property taxes are considered a senior interest because they are a governmental obligation. This priority is essential in ensuring that local governments can collect funds necessary for public services such as schools, roads, and emergency services. In many jurisdictions, the law protects the collection of property taxes, making them the foremost lien on the property regardless of other financial obligations associated with it.

Other interests, like mortgages, often secure loans but come after property taxes in terms of priority. Consequently, if a property goes into foreclosure or is sold, any funds generated would first satisfy the outstanding property tax debt before being allocated towards loans or other liens.