🏡 How to Sell a Home With a Lien on It: A Homeowner’s Guide

Selling a home can be stressful enough—but discovering a lien on your property adds a whole new layer of complexity. The good news? You can still sell your home, even if there’s a lien. But it takes the right strategy, the right support, and a clear understanding of the process.

Here’s what you need to know.

🔍 What Is a Lien?

A lien is a legal claim against your property, typically placed by a creditor to ensure they get paid. Common types of liens include:

• Mortgage liens (from your lender)

• Tax liens (from the IRS or local government)

• Mechanic’s liens (from contractors)

• Judgment liens (from lawsuits or unpaid debts)

• HOA liens (from unpaid association dues)

A lien must usually be resolved before ownership of the property can transfer to a buyer.

🧭 Can You Sell a Home With a Lien?

Yes—but you’ll need to address the lien before or during the closing process. Buyers won’t take on your debt, and title companies won’t approve the transaction unless the lien is cleared or accounted for.

✅ Step-by-Step: How to Sell a Home With a Lien

1. Confirm the Lien(s)

Start with a title search—this is typically done early in the listing or escrow process. If you’re not already aware of the lien, this will uncover any claims.

Pro Tip: A real estate agent or title company can help facilitate this process for you.

2. Understand the Amount Owed

Contact the lienholder for a payoff statement. This shows exactly how much you owe, including any interest or fees.

3. Negotiate or Settle the Lien

Depending on the type of lien, you might be able to:

• Negotiate a reduced payoff

• Settle the lien for less than what’s owed

• Dispute the lien if it's inaccurate or invalid

4. Pay the Lien From the Sale Proceeds

In many cases, the lien can be paid directly from your closing proceeds—meaning you don’t need to come out of pocket beforehand. The title company will handle the disbursement.

5. Get a Lien Release

Once the lien is satisfied, the creditor must file a release of lien with the county recorder. This clears the title so the sale can proceed.

🛠️ What If You Can’t Afford to Pay the Lien?

If the lien amount is higher than your equity, consider these options:

• Short Sale: With lender approval, you may be able to sell for less than what's owed.

• Payment Plan: Some creditors allow installment payments to release the lien.

• Legal Assistance: In complex cases, an attorney may be able to negotiate or challenge the lien.

💡 Why You Need a Real Estate Agent

An experienced agent (like me!) can help you:

• Coordinate with the title company

• Communicate with lienholders

• Market your home effectively, even with a lien

• Keep the sale on track through closing

📲 Selling a Home With a Lien? Let's Talk.

If you're thinking about selling your home and suspect (or know) there's a lien involved, don’t stress—you have options. I’ve helped many homeowners navigate tricky situations just like this one.

📞 Message me on WhatsApp at 912-484-0498
Let’s get your home sold with confidence—lien or no lien.

Christel Renaud | Christel Miami Luxury Living

912-484-0498 | [email protected]