Can You Sell With A Lien On Your House in Baltimore?

Selling a home is rarely simple, but the process becomes even more challenging if there’s a lien on your property. Many homeowners ask: “Can I sell my house with a lien?” The short answer is: not without addressing it first. But don’t worry—there are multiple ways to resolve the situation and move forward with your home sale.

What Is a Lien on a House?

A lien is a legal claim that creditors place on a property to secure repayment of a debt. In Real estate, this means a lienholder (like a lender, contractor, or even the IRS) has the right to collect what they’re owed before the property can transfer to a new owner.

Liens are usually recorded in county property records or attached directly to the home’s title. They are common tools creditors use to ensure they get paid back. For example, when you take out a mortgage, the lender places a lien on your house until the loan is fully repaid.

What Rights Do Lienholders Have?

If you fail to pay back what you owe, lienholders may have the legal right to force the sale of your home in order to recover their money. Liens also prevent new lenders from using your property as collateral until the existing claim is cleared.

So, can you sell your home with a lien? Not directly—you’ll need to resolve the lien first.

How to Remove a Lien Before Selling Your House

If you plan to sell a house with a lien, here are the main options available:

1. Pay the Lien

   • The most straightforward option is to pay off the debt. You can use the proceeds from your home sale or other assets to clear it.

2. Negotiate or Settle

   • Sometimes creditors will accept a partial payment or alternative arrangement. Negotiating could allow you to sell your property faster.

3. Correct Errors

   • Liens are occasionally filed in error. If this happens, contact the lienholder and request that they release the lien.

4. Dispute the Lien

   • If you believe the lien is invalid, you can challenge it in court. This process can be lengthy, but it’s an option if the claim is unfair.

Types of Liens You Might Encounter

Not all liens are the same. Homeowners may face:

• Mortgage liens (from unpaid home loans)

• Tax liens (IRS or property tax debt)

• Judgment liens (unpaid credit cards, loans, or medical bills)

• Child support liens

• Mechanic’s liens (from contractors for unpaid work)

Some homes even have multiple liens, which must be paid in the order they were filed.

Pros and Cons of Selling With a Lien

Advantages:

• You can finally resolve your debt once the lien is paid off.

• Selling allows you to start fresh financially, even if it cuts into your profits.

Disadvantages:

• Liens reduce the equity you walk away with.

• Multiple liens can complicate and delay the sale.

• Creditors may demand foreclosure if unpaid.

Should You Buy a Home With a Lien?

Buyers sometimes consider homes with liens because they’re often discounted. However, this route is risky. You’ll need the help of a real estate attorney or a knowledgeable realtor to evaluate the situation.

In some cases, liens can be cleared during negotiation, short sales, or even foreclosure auctions. But if you’re a first-time buyer, it’s best to proceed cautiously.

How to Sell Your House Fast

If you’re struggling with liens and need to sell your house fast, consider working with cash home buyers. These companies buy properties as-is, handle liens, and close quickly—often in a matter of days.

Reputable cash buyers can:

• Pay cash for your home

• Take care of liens or outstanding debts

• Help you avoid foreclosure

• Save you time and stress

Conclusion

So, can you sell a house with a lien? Yes, but not until you clear or resolve the lien. Whether through payment, settlement, correction, or dispute, addressing liens is the first step toward selling your property successfully.

If you don’t want the hassle of dealing with liens on your own, a trusted cash home buyer may be the fastest and easiest solution.