Buying a home is one of the biggest financial decisions you'll ever make. While finding the perfect house is exciting, there’s an often-overlooked factor that can derail your closing—taxes and liens. Understanding how they impact your home purchase is crucial to protecting your investment.

What Are Taxes and Liens?A lien is a legal claim against a property due to unpaid debts. Common types include:

Property Tax Liens: If the previous owner hasn’t paid property taxes, the government can place a lien on the home.

Mechanic’s Liens: Contractors or suppliers can file a lien if they haven’t been paid for work done on the property.

Judgment Liens: If a homeowner loses a lawsuit and doesn’t pay the judgment, a lien can be placed on the property.

How Do Taxes and Liens Affect Your Home Purchase?If a property has outstanding taxes or liens, it can cause significant delays—or worse, financial losses for the buyer. Here’s how:

Delays in Closing: Unresolved liens must be cleared before the title can transfer to you.

Unexpected Costs: If a lien isn’t discovered before closing, you might inherit the debt.

Legal Complications: You may have to go through legal proceedings to remove an undisclosed lien.

How Title Companies Protect YouTitle companies play a vital role in ensuring you receive a clear title. Andrea Hyatt from American Title Solutions explains how they:

Conduct a title search to uncover unpaid taxes and liens.

Work with sellers to resolve outstanding debts before closing.

Provide title insurance to protect buyers from hidden claims that may surface after closing.

How to Protect Yourself as a Buyer✅ Work with a Reputable Title Company: Ensure all necessary checks are done before closing.

✅ Review Your Title Report: Ask questions if anything looks unclear.

✅ Get Title Insurance: This can safeguard you from undiscovered liens in the future.

✅ Consult Your Real Estate Agent & Attorney: They can help identify red flags early in the process.

Final ThoughtsTaxes and liens don’t have to be a deal-breaker, but they must be addressed before you sign on the dotted line. Working with an experienced title company ensures you get the keys to your home—without hidden surprises.

Are you buying a home? Contact Great Move Realty today to make sure your dream home is free and clear of any issues!

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