If you’ve discovered a lien on your property—whether from unpaid taxes, child support, contractors, or even an old judgment—you’re not alone. In California, thousands of homeowners run into lien issues every single year. And one of the first questions they ask is:

“Can I still sell my house… even with a lien on it?”

The short answer: Yes.
But how you sell—and what it costs to clear the lien—depends on the type of lien, the amount owed, and your timeline.

This guide breaks everything down in simple terms and also points you to our full deep-dive resource:
Sell House With Liens in California

Let’s get into it.

What Exactly Is a Lien?

A lien is a legal claim placed on your property because of an unpaid debt. It doesn’t mean someone “owns” your home—it just means you can’t transfer title until the debt is addressed.

Some of the most common liens California homeowners face include:

• Property tax liens
• Mortgage or HELOC liens
• Child or spousal support liens
• Mechanic’s liens (contractors)
• Judgment liens from lawsuits
• IRS tax liens

In 2024 alone, California recorded over 90,000 new property-related liens, according to state data. That means many sellers are navigating the same issue you’re dealing with today.

So… Can You Sell a House With Liens?

Yes, you can—because liens don’t prevent a sale. They just have to be paid off at or before closing.

When the title company runs its search, they’ll pull up:

• All open liens
• Past due balances
• Accrued interest
• Any additional fees

Your escrow officer cannot transfer ownership until the lien is satisfied. But how the lien is satisfied depends on the situation.

3 Ways to Sell a House With Liens in California

Below are the most common paths homeowners take.

1. Pay the Lien From Your Sale Proceeds

This is the simplest option. When the home sells, the lien is paid out of your profits.

Example:
We worked with “Maria” in Long Beach, who had a $14,800 contractor lien after a remodel dispute. She didn’t have the spare cash to pay it off upfront. Instead, we structured the sale so the lien was paid at closing directly from the escrow proceeds. Maria walked away with the rest of her equity—problem solved.

This method works well if:

• Your home has enough equity
• Your lien amount is manageable
• You’re not facing a tight deadline like foreclosure

2. Negotiate the Lien Down Before Selling

Many lien holders—especially contractors or judgment creditors—are willing to accept a reduced payoff if it means settling quickly.

We’ve seen reductions of:

• 10–25% for contractor liens
• 20–40% for older judgment liens
• IRS liens reduced through payment plans or partial release agreements

Example:
A seller in San Bernardino owed $32,000 on a judgment lien that had been sitting for more than six years. Because interest had ballooned the balance, the creditor agreed to settle for $18,500 at closing. This made the sale financially possible.

Negotiation is a valuable tool—and in some cases, a professional cash buyer (like us) can help navigate these conversations.

3. Sell the House As-Is to a Cash Buyer

If the lien amount is large or your timeline is tight, selling to a cash buyer is often the fastest solution.

Why?

• Cash buyers don’t require repairs
• No inspections or contingencies
• They can help coordinate lien resolution
• Closing can happen in as little as 7–14 days
• They’ll buy even with multiple liens or judgments
• They often advance escrow funds to clear title quickly

Example:
We recently helped a family in Riverside who had three separate liens totaling over $60,000—including an IRS lien and an old child support lien. The home needed repairs, making a traditional sale difficult. We bought the property as-is, paid off all liens at closing, and the sellers walked away free and clear.

If you want a step-by-step breakdown of the process, read our full guide here:
Sell House With Liens in California

What Happens if You Ignore a Lien?

Many homeowners hope a lien will just “go away,” but unfortunately, liens follow the property—not the person.

Ignoring liens can lead to:

• Delayed closings
• Lost buyers
• Increased interest and penalties
• Potential foreclosure (for tax or child support liens)
• A clouded title you can’t legally transfer

Tax liens, in particular, are serious. In California, counties can begin the tax-default process after five years of unpaid property taxes, which may lead to a tax sale.

Even small liens need to be handled promptly.

Do You Need to Clear Liens Before Listing the House?

Not necessarily.

You can list your home with liens, but keep these in mind:

• Buyers get nervous about title issues
• Lenders may not approve financing
• Negotiations can get complicated
• Your closing may take longer
• You’ll need a cooperative lienholder

This is why many sellers with lien problems prefer a cash, as-is sale. It provides certainty and avoids delays.

How Much Does It Cost to Remove a Lien?

Costs vary depending on:

• Type of lien
• Amount owed
• How old the lien is
• Accrued interest
• Legal fees (in some cases)

But the biggest cost isn’t always money—it’s time.

Some liens, especially IRS or child support liens, require multiple departments, documents, and approval steps. This can delay closing by weeks if you’re not working with a buyer who understands the process.

Real California Seller Example: Multiple Liens, Zero Repairs

One of our recent sellers, “Terry,” inherited a home in Carson with:

• An unpaid $9,400 mechanic’s lien
• A $27,000 judgment lien from a past credit card lawsuit
• Back property taxes
• A roof leak that scared off traditional buyers

Terry thought she couldn’t sell at all.

We stepped in, negotiated the liens, coordinated directly with the lienholders, and closed in 12 days. She walked away with a clean slate and didn’t have to deal with any repairs or legal back-and-forth.

Stories like this are extremely common—liens don’t stop a sale; they just require the right strategy.

Want to Learn More? Read the Full Guide

This blog is a helpful overview, but our full resource breaks down:

• Exact lien types
• How escrow handles liens
• What paperwork you need
• Step-by-step examples
• Common mistakes sellers make

Read the full guide here:
https://www.mrspropertysolutions.com/blog/sell-house-with-liens-california/

How Mrs. Property Solutions Can Help

If you’re overwhelmed with liens, paperwork, or deadlines, we’ve helped countless California homeowners get out from under difficult situations—without judgment and without the red tape.

We can:

• Buy your home as-is, even with multiple liens
• Handle the lien payoff during escrow
• Close as fast as 7–14 days
• Help negotiate liens when possible
• Give you a fair, straightforward cash offer

If you’d like a simple way out, we’re here to help.
Reach out anytime.