Tips for successfully marketing a house with liens or title issues

Below are some commonly asked questions regarding selling a house with liens, back taxes, and mortgages. If you have additional inquiries, please don’t hesitate to contact us.

Is it possible to sell a house that has an existing mortgage or liens on it?

Yes, it is possible to sell a house even if there are mortgages or liens attached to it. Normally, these liens are resolved during the closing stage through the funds generated from the sale. However, there are instances where the purchaser can assume particular liens.

What should I do if the outstanding mortgage on my house exceeds its current value?

If your house has depreciated or the market value has declined, it may result in negative equity. This can pose challenges when selling since a traditional sale would require you to cover the shortfall between the sale price and your outstanding balance. However, there are options to navigate this situation, particularly when working with an experienced investor like Jeremiah Buys (because, let’s be honest, no one wants to pay someone to take their property). If you find yourself in this predicament, we can assist you in facilitating a short sale with your bank or purchasing the house above the market value while keeping the existing financing and assuming the mortgage payments. Each person’s circumstances are unique, and we have substantial expertise in purchasing houses with negative equity. Feel free to contact us via phone or fill out our contact form to explore how we can assist you.

What are the options for selling a house that carries a Road Home lien?

Yes, it is possible to sell a house with a Road Home lien; however, the lien must be settled during the closing process or agreed upon to be assumed by the buyer. It is highly probable that a substantial portion, if not all, of your Road Home loan can be eligible for forgiveness. When we purchase a house with a Road Home lien, our dedicated title attorney collaborates with you to maximize the loan forgiveness amount, ensuring that you receive a greater portion of the cash sale proceeds. Road Home liens are commonly encountered in Louisiana, and we have extensive experience in acquiring homes with similar liens.

If my property tax debt has been purchased by someone else, can I still sell the house?

As long as the house has not undergone foreclosure proceedings, you are permitted to sell the property. However, during the closing, you would be responsible for settling the outstanding taxes and interest, which will be deducted from the sale proceeds. In Louisiana, if someone else owns your property tax, they have the right to initiate foreclosure after a period of 3 years or 18 months if the property is vacant. If you are unable to pay off the tax debt, it is advisable to sell the house before facing foreclosure, as the tax lien holder will not be obligated to compensate you for anything beyond the taxes they paid. By selling the house, you can utilize the proceeds to clear the tax debt and retain the remaining equity to support your transition to your next home.

If a house has code enforcement liens, can it still be sold?

Certainly, it is possible to sell a house with code violation liens. However, during the closing, the code enforcement liens must be settled. The title attorney will directly pay them from the sale proceeds. If your house is still not in compliance with the code, it becomes the responsibility of the new buyer to address the issues and prevent any further code violations. Jeremiah Buys frequently purchases blighted houses with code violations and is more than willing to acquire them in their current condition, taking on the responsibility of bringing them up to code.

Am I able to sell my house if there is a lien from a contractor?

Yes, you can sell your house even if there is a contractor’s lien. During the closing process, the lien would be taken care of using the sale proceeds. Once the lien is paid off, you would retain the remaining funds.

Do you have any questions regarding the selling process of a house that has lien attached?

Feel free to reach out to us, and we will gladly discuss the available options with you. With our extensive experience in purchasing houses in various situations, we have established a robust network of title attorneys and real estate professionals to provide guidance. We frequently encounter individuals who have exhausted multiple avenues while attempting to sell their house and believe that a solution is out of reach. It brings us great satisfaction to demonstrate to these individuals that there are indeed options available. Assisting people in navigating liens and intricate title issues when selling their house is a familiar territory for us.