i am renting a home,my landlord wanted to sell it. i went to the bank and got approved for the amount asked. while the banks lawyer was searching the deed,he found the home was attached to by the irs..now i have to pay the lawyers fees and the appraisials fees. since finding out about the problems with the home. can the owner collect rent for the home while still owing the irs?
2006-09-29 12:05:27 · 2 answers · asked by HillBilly Angel 1 in Business & Finance ➔ Taxes ➔ United States
As long as your land lord owns the property, he can rent it out. The attachment as you describe it sounds like a standard property lien. It just means when the property is sold, the IRS gets their money before the seller, or the current mortgage holder get any money. As long as the sale price is enough to pay the tax lien and any existing mortgage, you should receive a clear title. You would have paid the appraisal fees anyway. They are a standard part of the mortgage application process. The lawyers fees may be slightly higher than without the tax lien, but you would have paid them anyway as well.
2006-09-29 12:19:18 · answer #1 · answered by STEVEN F 7 · 0⤊ 0⤋
Unless the lien is greater than equity the landlord has in the property it should not be a problem for you to purchase the property. If the mortgage and the lien is larger than the net from the sale the loan company is going to make up that amount from some place and the new owner is a good possibility. Since you have already paid the appraisal fees you should be able to figure this out.
2006-09-29 13:02:30 · answer #2 · answered by ? 6 · 1⤊ 0⤋