Help on Back Tax Company's Lien


I’ve done several short sales but never had this problem so I need your experties.
Seller borrowed Tax compnay to pay their back taxes. However, when I tried to contact the tax company to negotiate, they said by the law they can’t negotiate the tax money and they r saying that they r the first lien holder since it is tax. Is it true that I can’t negotiate? Have you guys ever had this kind of propblems? How did you solve this problem? Please help! :help


 Are you talking about a company who bought a tax lien certificate and is holding a certificate guaranteing principle plus interest with a maturity date (Date the property becomes the certificate holders property) if the back taxes are not paid?

If this is the case you will have to pay full cost of the back taxes which are in first position as this is how this company as investors make there money and there is no negotiating a tax lien!

Tax liens always trump existing financing for first position!


Thank you so much for clear answer.Yes it is the company who bought seller’s back tax cert.
Since lien holder is bank of america, may be I should pass this one.
Thank you again

Is the IRS threatening you with massive penalties and interest on your back taxes? Are they talking about wage garnishment, or liens on your home? Are IRS tax problems getting out of control? Well you are not alone.

There should be a solution to your problem. Try acquiring the services of lawyer and see if he can help you settle the tax money. The IRS is strict regarding delinquent tax payers who have tax liens dilemma and bank foreclosures. So, it’s good to get the best services that financial experts and lawyers can provide to you.


It is amazing how the topic changes from the original post through the compulation of the remaining post's. Original poster said he was looking at a short sale that has a "Property Tax Lien Certificate" attached to the title that overrides the 1st TD by law because it is a tax lien and effectively becomes the first position lien until paid.

It can not be negotiated down by Law so there is no choice, either negotiate a short sale and include enough to pay the lien off at the time of closing to have a clean title or walk away!

It’s not an IRS lien, it is property tax lien which in some states could build up to being $50k, or more over the about 4 years it takes for the certificate to mature and to be able to foreclose on the property.

I don’t know how we got to IRS and how we got to lawyer as this is a “Tax Lien Certificate” were talking about?