If you’ve discovered that your property has tax liens, you’re probably wondering whether you can still sell your home. The good news is yes—you can sell a house with tax liens in Pennsylvania. However, there are a few things you should know before listing your property or accepting an offer.
At Next Key Property Group, we work with homeowners throughout Philadelphia, Bucks, Montgomery, Chester, and Delaware Counties who need to sell quickly, even if they have unpaid taxes or other title issues.
What Is a Tax Lien?
A tax lien is a legal claim placed against your property when property taxes or certain municipal charges go unpaid. In Pennsylvania, tax liens may include:
- Delinquent county or municipal property taxes
- School taxes
- Municipal claims
- Water and sewer liens (depending on the municipality)
These liens attach to the property and generally must be addressed before ownership can transfer to a new buyer.
Can You Sell a House with Tax Liens?
Yes. Having tax liens does not prevent you from selling your home.
In most cases, the liens are simply paid from the proceeds at closing. The title company will order payoff statements, and the outstanding balances are deducted before you receive your remaining proceeds.
For example:
- Sale Price: $250,000
- Mortgage Payoff: $170,000
- Tax Liens: $15,000
- Closing Costs: $10,000
Remaining Proceeds to Seller: $55,000
As long as there is enough equity in the property, the sale can usually move forward without any issues.
What If I Don’t Have Enough Equity?
Sometimes homeowners owe more than the property’s value after accounting for:
- Mortgage balances
- Tax liens
- Water liens
- Other judgments
If that’s the case, you still have options. Depending on your situation, you may be able to:
- Negotiate with lien holders
- Pursue a short sale (if applicable)
- Work with an experienced cash buyer who can help coordinate with the title company to determine the best path forward
Every situation is different, which is why it’s important to understand exactly what is owed before making decisions.
Do I Need to Pay the Liens Before Listing My Home?
Not necessarily.
Many homeowners believe they must pay off tax liens before selling. In reality, most liens are paid at settlement, not beforehand.
Your title company will:
- Order lien payoff statements
- Verify outstanding balances
- Ensure liens are properly satisfied during closing
- Record the necessary documents after settlement
Can a Cash Buyer Purchase My House with Tax Liens?
Absolutely.
Cash buyers regularly purchase homes with:
- Property tax liens
- Water liens
- Code violations
- Vacant property issues
- Probate complications
- Inherited homes
- Deferred maintenance
Because there is no lender involved, cash sales are often faster and involve fewer complications than traditional financed transactions.
Why Homeowners Sell Before Tax Problems Get Worse
Waiting too long can create additional financial pressure.
Unpaid property taxes often continue to accumulate:
- Interest
- Penalties
- Legal fees
- Collection costs
In severe cases, delinquent taxes can eventually lead to tax sale proceedings or foreclosure. Selling before the balance grows larger can help preserve more of your equity.
We Make the Process Simple
At Next Key Property Group, we purchase houses in any condition and work with experienced local title companies to help resolve title issues, including tax liens.
Whether your home needs repairs or simply has financial complications, we’ll provide a fair, no-obligation cash offer and guide you through the process from start to finish.
Sell Your House with Tax Liens Today
If you’re dealing with unpaid property taxes, water liens, or other title issues, you don’t have to figure it out alone.
Next Key Property Group buys houses throughout Philadelphia, Delaware County, Bucks County, Montgomery County, and Chester County. We’ll review your situation, explain your options, and make a fair cash offer—regardless of your property’s condition or outstanding liens.
Contact Next Key Property Group today for a free, no-obligation cash offer and find out how easy selling your house can be—even with tax liens.