If you have a tax lien on your home, you may feel stuck and uncertain about your options. And while the answer to “Can I sell my house with a tax lien?” is yes, you need to follow the right steps to make sure the sale goes through smoothly.
Homerun Home Solutions LLC can help you with the right approach to sell your property, satisfy the debt, and move forward with peace of mind.
What Exactly Is a Property Lien on Your Home?
A property lien is a legal claim placed on your home because of unpaid debts. In the case of a tax lien, the claim comes from a local tax authority or the IRS. Unlike a voluntary lien (such as a mortgage), a tax lien attaches automatically when taxes go unpaid.
This means that before you sell your house, the lien must be addressed so the buyer receives a clear title.
Why a Title Search Plays a Key Role in the Process
Before real estate sales close, the buyer’s title company or attorney typically performs a title search. This search identifies liens, judgments, or other legal claims against your property. If a tax lien appears, it must be paid off or resolved to clear the title. Unless resolved, the lien remains on the property even after a sale.
How the Mortgage Payoff and Debt Repayment Work at Closing
When you sell your house, the closing process handles all outstanding obligations in order. First, the title company applies your sale proceeds to any necessary mortgage payoff. Then, the tax lien payoff and any other liens are deducted. This automatic debt repayment ensures that creditors, including tax authorities, receive the money owed to them before you can collect your net profit.
After paying off the amounts owed on any outstanding liens, the remainder belongs to you. If the sale price falls short, you can negotiate with lienholders or explore payment plans to complete the transaction.
How a Lien Release Clears the Way for Sale
Once a tax lien balance is paid, the government issues a lien release. This document confirms that the lien no longer exists and gives the buyer full ownership without any cloud on the title. That makes efficient and prompt negotiations with the taxing authority highly valuable.
What Happens If You Ignore a Lien?
Failing to act on a lien can expose you to serious consequences. Unpaid tax liens increase the chance of foreclosure risks, meaning the government could seize and sell your property. By selling proactively, you prevent this outcome and protect your financial future.
Work With Homerun Home Solutions LLC
If you’re asking, “Can I sell my house with a tax lien?” know that the process requires experience and a clear plan. That’s where Homerun Home Solutions LLC steps in to help. Their team understands how to handle liens, negotiate with tax authorities, and guide homeowners through successful sales without unnecessary delays.
If you’re downsizing or looking to sell for any reason, call Homerun Home Solutions LLC today at (484) 246-4894 or contact us online for a cash offer.
