What are my options

What are my options

Central , OH · Member since 2014 · 12 posts · 2 votes
I have located a vacant property and reached out to the owner which inherited the property. The house is in very bad shape and would be a complete gut but in a decent nerighborhood. The owner told me a price which seemed very reasonable. After doing an extensive search I have found 4 property tax liens an IRS lien and a 1000 dollar delinquent water/sewer bill. Also is currently 2 years behind on taxes which has not been sold off yet. I contacted the company that owns all 4 tax liens and was told the pay off with interest would be 22k plus attorney fees. The IRS lien is for 6k plus the current tax bill and water bill puts everything owed right at about 33k..The owner knew there was some liens and wouldn’t be making much money In the deal however the liens are 3k more than her asking price.. so my question is am I able to purchase the house off of her via QCD for next to nothing (basically just to put a little money in her pocket) and then pay these liens just enough to avoid forclosure and then pay everything off with the proceeds of the sale when I turn around and sell a few months down the road. I understand obviously I would need to consult with an attorney but I’m basically just trying to see if a deal like this is possible. This way I could purchase the home with 1/3 of the money and have the money to rehab it..
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  • Rental Property Investor · East Wenatchee, WA · Member since 2014 · 10k+ posts · 16k+ votes
    8y

    Inherited property (probate complete?) with a bunch of liens is NOT a DIY qcd deal.

    I'd go ahead and offer the $30k asking price, go under contract and let the title co do their thing.

    When it comes down to it, some lienholders may accept a little less to release, Otherwise, looks like the seller  will have to bring a check to closing. Bummer that!

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