What are the consequences of buying a tax repossessed property with a lien on it?
Thinking of buying a large hay field that isn't good for much else. The current owners haven't paid taxes in almost 4 years and still owe the seller $45,000 on it (at 8% interest). When would I be liable to pay the seller- when I build something on it? when I sell it? What if I do neither? Who would enforce my paying the seller?
- nanuLv 53 weeks ago
You have to pay off the lien
- Dan BLv 73 weeks ago
Tax lien sales take precedence over any other liens on the propety. The lender and property owner loses it all.
- oklatomLv 73 weeks ago
With a lien on it it can not be sold until the lien is paid off, so move on.
- zipperLv 63 weeks ago
A major night mare, Pal, a really bad one. They may want the lien paid yesterday, or not approve of you at all. I would avoid it at all cost!
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- Elaine MLv 73 weeks ago
You pay the lien, by signing the contract you agreed to.
- SlumlordLv 73 weeks ago
The person holding the lien will enforce it eventually but if they find out you bought it then that may be the push they need to finally go enforce the lien. You could simply set the price, pay off the lien and then the seller only gets whatever is left and if they won't agree to this then don't buy. There is a chance the lien holder will never enforce the lien or they could start tomorrow. I'm surprised the taxing authority hasn't done anything yet but that would have to be paid off too.
- 3 weeks ago
Having to pay the lien in order to get the property in your name.
- realtor.sailorLv 73 weeks ago
You would still owe the seller and if they haven't paid taxes in 4 years are they current with payments to the seller?
- TavyLv 73 weeks ago
Well it's not a property if it's a field is it,? it's land. It should be sold with no lien, you are not buying someone else's debt.
Once you have bought it the seller has nothing to do with it.
You would have to apply for permission to build a propertyon I it from your government offices.
You don't sound very clued up.
- Anonymous3 weeks ago
The prior seller regains ownership and they owe you the back taxes plus interest.