Outstanding Tax Liens

[Frank B.]

Hi there,

I recently bid on a couple of homes that have outstanding tax liens. Can anybody explains how would that work if I win the bid for these properties?

Thank you.

[Adam Zacharski]

Basically, the prior owner did not pay the real estate taxes on the property. Those unpaid taxes stay with the property until they are paid off. If you "win" those properties the county will come after you to settle the debt. Often you cannot sell or finance the property if it has an outstanding lien. Beware of IRS and mechanics' liens which also stay with the property regardless of owner.