DISCLAIMER: For informational and educational purposes only. Nothing here is legal advice, a title opinion, or a commitment to insure, and no attorney-client relationship is created. No one may rely on this content for any transaction or legal decision. Coverage is governed solely by the terms of an issued policy or commitment, and requirements vary by state and underwriter. Consult your own attorney and underwriter. Views are my own and not those of my employer.

Title in a Minute with Shawn Tidwell

State Library

Montana

Mechanics' liens, recording formalities, future advances, subdivision rules, title premiums and recording taxes in Montana, in plain English with statute cites. Last researched Oct 2026.

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Title in a Minute · www.titleinaminute.com/library/states/montana · Printed reference copy.

DISCLAIMER: For informational and educational purposes only. Nothing here is legal advice, a title opinion, or a commitment to insure, and no attorney-client relationship is created. No one may rely on this content for any transaction or legal decision. Coverage is governed solely by the terms of an issued policy or commitment, and requirements vary by state and underwriter. Consult your own attorney and underwriter. Views are my own and not those of my employer.

Key quirkA mortgage stating a maximum has priority as if fully advanced at execution, even at a zero balance.

Montana at a Glance

Topic Montana answer Where it comes from
Lien filing Filed with the county clerk and recorder within 90 days after final furnishing or the owner's notice of completion MCA 71-3-535(1)
Attachment Lien attaches at commencement of work (design-only liens attach at filing) MCA 71-3-535(5), (6)
Notice of right to claim lien Lien statement must declare that the notice was given, or why not MCA 71-3-535(3)(h), 71-3-531
Priority Beats interests filed after the lien attaches; earlier interests win except for severable improvements and construction-loan mortgages MCA 71-3-542
Enforcement Suit within 2 years after filing MCA 71-3-562
Future advances Mortgage states the maximum; priority as if fully advanced at execution, even at zero balance MCA 71-1-206
Deed transfer tax None (the constitution bars state and local transfer taxes); a realty transfer certificate must accompany deeds Mont. Const. art. VIII, § 17; MCA 15-7-305
Mortgage/indebtedness tax None (no state statute)
Title premium regulation All-inclusive rate schedule filed with the Commissioner; only filed rates may be charged MCA 33-25-212

1. Mechanic's Lien Rules

Plain English

A Montana construction lien is filed with the county clerk and recorder within 90 days after the claimant's final furnishing or after the owner files a notice of completion, and a copy must be served on the owner of record. The lien statement must declare that a notice of right to claim a lien was given to the contracting owner (or explain why it wasn't required). The lien attaches at commencement of work, and it beats any interest filed after that. A mortgage filed before the lien attached generally wins, with two big exceptions: the lien wins as to a severable improvement that can be removed, and the lien wins over a prior-filed mortgage taken to secure advances to pay for that improvement. Suit must be filed within 2 years after filing.

Key Rules

Filing and attachment (MCA 71-3-535). 90 days; contents; attaches at commencement of work.

Notice of right to claim lien (MCA 71-3-531). Given to the contracting owner by certified mail or personal delivery within 20 days after first furnishing (45 days on a lender-financed job that isn't an owner-occupied residence); if late, the lien covers only the 20 (or 45) days before notice. A copy must be filed with the clerk and recorder within 5 business days. Not required for an original contractor dealing directly with the owner, wage earners, dwellings for five or more families, or partly or wholly commercial improvements.

Priority (MCA 71-3-542). Later-filed interests junior; severable improvements; construction-loan mortgages.

Enforcement (MCA 71-3-562). 2 years after filing.

Practice Points

  1. File a notice of completion to start the 90-day clock.
  2. Expired liens: 2 years with no suit means the lien can't be enforced.

Citations

2. Execution and Notarization Requirements for Recording

Plain English

Montana deeds are acknowledged and recorded with the county clerk and recorder. A recorded conveyance is constructive notice to later purchasers and mortgagees from the time it's filed, and an unrecorded conveyance is void against a later good-faith purchaser or encumbrancer for value who records first (MCA 70-21-302, 70-21-304). Montana has no real estate transfer tax, but the clerk and recorder can't accept a deed until a realty transfer certificate is received. Montana allows remote notarization by a notary physically located in Montana who has notified the Secretary of State and completed the required course (MCA 1-5-603(9), 1-5-615).

Key Rules

  • No transfer tax (Mont. Const. art. VIII, § 17). The state and local governments may not tax the sale or transfer of real property.
  • Realty transfer certificate (MCA 15-7-305, 15-7-307, 15-7-308). Required before a deed can be recorded; some transfers need not disclose the consideration; the certificate is confidential.
  • Recording act (MCA 70-21-302, 70-21-304). Constructive notice from filing; first good-faith purchaser for value to record wins.
  • Remote notarization (MCA 1-5-603(9), 1-5-615). Signer may appear by communication technology; the notary must be in Montana, notify the Secretary of State, and complete an approved course.

Practice Points

  1. File the realty transfer certificate with every deed.
  2. Record promptly.
  3. Check remote notarization compliance.

Citations

3. Securing Future Advances

Plain English

A Montana mortgage securing future advances must state the maximum amount that may be outstanding. The lien for that stated amount has priority as if the whole amount had been advanced when the mortgage was signed, even if the balance drops to zero from time to time. The lender may reserve the right to refuse advances. The borrower can record a notice that it wants no further advances; after that, priority covers only the amount then owed plus interest and charges.

Key Rules

  • Stated maximum (MCA 71-1-206(1)).
  • Priority (MCA 71-1-206(2)). As if advanced at execution; survives zero balance.
  • Borrower's notice (MCA 71-1-206(3)). Recorded notice ends priority for further advances.

Practice Points

  1. Check the stated maximum in any credit-line mortgage.
  2. HELOC payoffs: record the borrower's notice or get a release.
  3. Zero balance doesn't end the mortgage.

Citations

4. Subdivision Statutes and Regulations

Plain English

Montana's Subdivision and Platting Act (MCA 76-3-101 et seq.) governs subdivision review, and divisions of land must be surveyed and filed. Some divisions are fully exempt (for example court-ordered divisions, mortgage-security parcels, cemetery lots and utility sites, MCA 76-3-201). Others are exempt from review but still must be surveyed (for example boundary relocations, a single gift or sale to each immediate family member in each county, and agricultural-covenant divisions, MCA 76-3-207). An exemption doesn't apply if the method of disposition is adopted to evade the Act, so misuse of exemptions is a known title issue. A final subdivision plat must be filed before any lot can be sold or transferred (MCA 76-3-301).

Key Rules

  • Subdivision and Platting Act (MCA 76-3-101 et seq.). Final plat filed before title to subdivided land is sold or transferred (MCA 76-3-301).
  • Exemptions (MCA 76-3-201, 76-3-207). Not available if used to evade the Act; 76-3-207 divisions still need a survey.

Practice Points

  1. New parcel? Confirm the plat or certificate of survey and any exemption claimed.
  2. Watch exemption misuse.
  3. Check water and sanitation approvals.

Citations

5. Title Premium Rates

Plain English

Every Montana title insurer must file with the Commissioner a complete, all-inclusive schedule of rates for title insurance on Montana property, with supporting data. "Rate" includes the policy, search and examination, and related reports, commitments, and binders. Rates may not be excessive, inadequate, or unreasonably discriminatory, and an insurer may charge only rates previously filed.

Key Rules

  • Filing (MCA 33-25-212). All-inclusive schedule; supporting data; only filed rates.
  • Definitions (MCA 33-25-105). What a "rate" includes.

Practice Points

  1. Quote from the company's filed Montana schedule.
  2. Search and exam charges are part of the rate, not separate fees.
  3. No unfiled charges.

Citations

6. Recording Taxes & Fees on Deeds and Mortgages

Plain English

Montana has no transfer tax and no mortgage tax. A realty transfer certificate goes with each deed so the Department of Revenue can track sales; it is not public.

Key Rules

(a) Deed transfer, conveyance or excise tax

  • None. The state and local governments may not impose any tax on the sale or transfer of real property (Mont. Const. art. VIII, § 17; Constitutional Initiative 105, approved Nov. 2, 2010).
  • Realty transfer certificate (MCA 15-7-304, 15-7-305).

(b) Mortgage, indebtedness or intangible tax

  • None. Montana has no mortgage, indebtedness or intangible tax on recording a mortgage or deed of trust, so future advances, credit lines, refinances and modifications carry no state recording tax (only recording fees).

(c) Other recording taxes and fees

  • Clerk and recorder recording fees (MCA 7-4-2632). $20 for the first page and $10 for each additional page.

Practice Points

  1. File the realty transfer certificate or the clerk will refuse the deed.

Citations

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