Hello guys! Happy New Year! I found a off-market deal about 2 months ago, and I was about to close the deal, but apparently the owner has some tax problems.They owe 6k at the county and from what he said " there was an issue where their payments were not being properly applied to their account for several months and they can't even make anymore payments until the company tracks down the payments they already made". At this point they are playing the waiting game with the company/agency. Is there a safe way to buy the property and start working on it before they resolve this problem? I want to mention that I am buying the house through an agency.
Title company should be able to estimate maximum potential tax liability, pad it a bit, and escrow a reasonable amount to cover the amount eventually determined to be due. There should also be an agreement signed by the seller agreeing to pay any shortage.
In other words, this issue should not hold up your closing if you have competent representation and vendors involved.