Legal Question in Real Estate Law in California
Liens and Foreclosures
I had federal and state tax liens recorded prior to my obtaining a home loan. The private party lender took the house back through foreclosure. What happens to these liens? There were also delinquent property taxes and association dues. What happens to those?
2 Answers from Attorneys
Re: Liens and Foreclosures
Each lien as a different priority and is treated differently. As to any and all tax liens of whatsoever nature they do not go way. Foreclosure really means that the lien is still there and will be placed upon any other properties or assets that you may own. As to the judgments again, those do not go way until the satisfaction of judgment is recorded and filed. Basically satisfied judgment must be paid. Lastly, homeowners association dues. I'm not sure about those with but if my memory serves me correctly those still become personal debts of viewers because you incurred than during the period of time that you own the property or more likely than not they will not follow to another property. If you wish to consult with the I'm in the San Francisco Bay Area have been practicing real estate law for over 30 years.
Re: Liens and Foreclosures
A foreclosure wipes out junior liens but does not forgive the underlying debt. Thus you will still owe most of these debts and if you purchase new property, the liens could easily attached (depending on their status).