REO title cleanup >$100k liens
I'm looking at bidding on an auction REO in San Antonio, TX. Fortunately, Auction.com provides a title report (for whatever it is worth) with their listing. Their report shows about $102k worth of liens (federal tax liens and judgments). I understand from most of the postings that REOs will typically purge most liens. I think whatever is shown in MY title report, I ask them to clean that up, then they must choose if they will or if not then I walk with my EM deposit. Is this correct?
I'm a little gun shy over the tax liens and judgments. I remember seeing that those types of liens are always senior. I don't want to get stuck with these things. I just want to ensure my understanding is correct. I know the right answer is to have my attorney review the condition, which is probably a good idea. Also, I need to review their contract to see what the outs are for me getting out with my EMD. This amount is huge, and nearly equal to most of the ARV of $130k.
There is another similar property with much smaller tax liens, but same issue applies. Apparently, this is a thing in San Antonio.
Be careful out there guys!