What can I do about back taxes

Question

I'm interested in a property in cincy but it has a substantial amount of back taxes , if I was to acquire this property is there away that I can work out a deal to keep the property to going to auction or also what would be the end result if I did take it and couldn't pay the taxes and it didn't work out , would they be able to garnish my wages from my full time job or anything like that?    Just trying to weigh my options.

Ned Carey · Answer

@Anthony Ford property taxes are paid off when you buy the property. The property cannot recorded to a new owner until the property taxes are caught up. So unless a tax deed sale or tax lien foreclosure are imminent, you simply need to get to settlement reasonably quickly so the taxes can be paid before the current owner loses the property.

In the case of IRS taxes, they also attache to the property. There are ways to get a IRS lien released but I don't know the details. Assuming the property sells for enough, the taxes would just be paid  from the sellers proceeds.

In either case, no one will come after your wages for someone else's taxes. The only potential risk to you is loosing the property. This is unlikely if the title company does their job right.

Anthony Ford · Answer

I've searched everywhere and I cannot find the city's guidelines on tax foreclosure, I believe they can just take it at any point if ur delinquent.

Anthony Ford · Answer

what about federal taxes? I've been searching for the guidelines and /or where I can find info on federal taxes owed on the property as well.

Wayne Brooks · Answer

@Anthony Ford If you mean an IRS lien, yes it will stay attached to the property.

Anthony Ford · Answer

what about federal taxes? I've been searching for the guidelines and /or where I can find info on federal taxes owed on the property as well.

Brent Wheeler · Answer

Anthony,

What is the guidelines in Cincy to take the property to tax foreclosure? You may just have to pay 1 year of taxes to prevent that. Then dependent on whether you are trying to flip it or rent it, you'll have the time necessary to fix it up. If you are trying to sell it, the proceeds at the closing table will be taken out to pay the property taxes. You will just need to calculate the cost of the taxes into your formula to make sure the deal is worth it.