Pay off liens with the equity in your home, close fast. Skip showings, repairs, and agent commissions. We make a fair cash offer in 24 hours and close in as little as 7 days, on your terms.
Selling a California house with a tax lien
Tax liens, federal (IRS), state (Franchise Tax Board), or local property tax, attach to your California house and have to be paid off before clear title can transfer. They don't prevent you from selling; they just have to be cleared at or before closing.
In most cases the lien is paid directly out of escrow from the sale proceeds. The title company orders payoff statements from each lien holder, includes them on the settlement statement, and wires the funds at closing. You walk away with whatever's left after the lien is satisfied.
If the lien total exceeds the sale price (an underwater situation), the lien holders may be willing to release for less than full payoff to allow the sale, the IRS calls this a "discharge of lien," and the FTB has similar processes. We've handled both. It takes weeks, not months, but it works.
Compare your options, read how to sell your house fast in California, or compare a cash sale vs. listing vs. iBuyer. For trust-related questions about cash buyers, our are cash home buyers legit guide is a quick read.
Why a cash sale fits this situation
If you're in this situation, the math usually favors a fast cash sale. Here's why.
A traditional California listing takes 60–120 days from list to close, and you're paying mortgage, taxes, insurance, and utilities the entire time. On a $600K California home with a $300K mortgage, that's roughly $4,000–$6,000 a month in carrying costs you don't recover. If your situation already has its own timeline pressure (a trustee sale, a relocation date, a probate court calendar), 60–120 days isn't a luxury you have.
Sellers searching "sell house with lien california" usually find that the listing route doesn't fit their timeline. Repairs, showings, agent commissions, financing contingencies, every one adds time and risk. A direct cash sale skips all of it.
Sellers searching "pay off tax lien sale" usually find that the listing route doesn't fit their timeline. Repairs, showings, agent commissions, financing contingencies, every one adds time and risk. A direct cash sale skips all of it.
Sellers searching "tax lien property sale" usually find that the listing route doesn't fit their timeline. Repairs, showings, agent commissions, financing contingencies, every one adds time and risk. A direct cash sale skips all of it.
When you sell through a cash buyer like My Home Sold, the timeline compresses to 7–14 days. We pay all standard closing costs, we don't request repair credits, and we close on the date you choose. The discount we apply (10–20% below retail in most markets) is roughly the cost of the agent commissions, repair credits, holding costs, and price drops you'd pay on the listing route, so the net to seller is often comparable, with months less wait.
The decision usually comes down to certainty. A listed California home in this situation might sell for full retail, or it might sit and require a price drop. A cash offer is a number you can take to the bank, literally, in 7 days, when "might" isn't a word you have time for. That's the case for a cash sale when you're in this situation.
Most California sellers in this exact situation also worry about one of three things: what their family or co-owners will think, what the IRS or California Franchise Tax Board will think, and what the neighbors will think. Our answer to all three: a cash sale is a normal real-estate transaction, recorded the same way any sale is recorded, with the same disclosures and the same tax treatment. There's nothing about a 7-day cash close that flags the IRS, surprises a co-owner, or signals distress to neighbors any more than a traditional sale would. We've closed thousands of California homes; the mechanics are routine.
One more thing worth noting: every California cash sale we run is documented end-to-end. You get a written purchase agreement (the standard C.A.R. forms agents use, not some custom contract), a preliminary title report, a settlement statement at closing, and a recorded grant deed afterward. Nothing about the process is informal, we just move faster than retail because we're not waiting on a buyer's lender, an appraiser, or a buyer's inspector. The paperwork trail is identical to any other California real-estate transaction.
If you're weighing whether a cash sale is right for your situation, the honest answer is: not always. Sellers with strong equity, no timeline pressure, a property in retail-ready condition, and the patience for 60–120 days of listing usually do better with a traditional agent. The cash sale path is built for sellers who don't fit that profile, who have timeline pressure, condition issues, situational complexity, or simply don't want the listing experience. If you're not sure which describes you, get a cash offer and compare it to what a local agent estimates net to seller. The numbers will make the decision obvious.
My Home Sold has been buying California houses for cash since long before "iBuyer" was a category. We're not a venture-backed pricing algorithm running offers from a database, we're a local team that walks the comps, knows the cities, and underwrites every offer with a real person behind it. That's why we close on offers we send. National iBuyers retract or renegotiate offers regularly after their algorithm flags something during inspection. We don't. The number we send is the number you get at closing, every time you sell through us.
Your timeline with My Home Sold
Here's exactly what happens, step by step, when California sellers in this situation work with My Home Sold.
Step 1: Lien identified
IRS, FTB, county property tax, mechanic's lien, tell us what you know. We'll find anything we don't.
Step 2: Title pulls payoff
Title company orders official payoff statements. Takes 5–10 business days for federal/state liens.
Step 3: Net proceeds calculated
Settlement statement shows the lien payoff coming out of your sale proceeds. You see the math before signing.
Step 4: Closing + lien release
Funds wire from escrow direct to the lien holder. Release of lien gets recorded. You're done.
Your options in this situation
Three paths, listing with an agent, an iBuyer, or a direct cash sale to us.
| Factor | Traditional listing | iBuyer | My Home Sold |
|---|---|---|---|
| Time to close | 60–120 days | 14–60 days | 7–14 days |
| Repairs required | Yes, buyer-driven | Often | None, we buy as-is |
| Carrying costs while you wait | 2–4 months of mortgage, taxes, insurance | 1–2 months | Days, close fast, costs end |
| Risk of falling through | High (financing, inspection) | Medium | Low, cash, no contingencies |
| Fees / commissions | 6–9% of sale price | 5%+ service fee | $0 |
| Right path for this situation | No | Sometimes | Often the cleanest option |
How My Home Sold helps in this situation
We've handled this situation hundreds of times. Here's what makes a cash sale with us different.
A real cash offer in 24 hours
Tell us about your California home. We pull the comps, factor your situation, and send a written offer within one business day. No appraisal, no financing contingency, no waiting on a buyer's loan.
We buy as-is, problem and all
Pay off liens with the equity in your home, close fast. We don't flinch at it. The condition, the situation, the paperwork, that's what we underwrite for, and that's what we close on.
Close on your timeline
Need to close in 7 days because the trustee sale is imminent or your relocation date is set? Done. Need 60 days to coordinate everything else? Also fine. The seller picks the close date.
Frequently asked questions
Can I sell my California house if the IRS has a lien on it?
Yes. IRS liens are common and don't block a sale, they just get paid out of escrow at closing. The title company orders the payoff from the IRS, the IRS files a release after payment, and you walk away with whatever equity remains. We've closed dozens of these.
What if the lien is bigger than my house is worth?
You can request a "discharge of lien" or partial release from the lien holder so the sale can proceed. The IRS has a formal process (Form 14135), and the FTB has its equivalent. The lien holder accepts whatever the sale generates and the rest of your debt remains, but the property transfers free and clear. We can help coordinate.
Will my credit get hit when the lien is paid off?
Paying it off is a positive event, but the original lien filing remains on your credit report for up to seven years from the release date. Selling to clear the lien doesn't erase the history; it just stops the bleeding.
Do I have to disclose the tax lien to the buyer?
Yes. Recorded liens are part of the title commitment any buyer (including us) sees automatically. There's no hiding it, but there's no reason to, we expect tax liens on the kind of properties we buy and price the offer with the lien factored in.
How long does the payoff process add to closing?
Usually 5–10 business days. The title company orders the payoff, gets the response from the IRS or FTB, and includes the number on the settlement statement. We can still close in 14–21 days even with a lien on file.
Sell your California house the easy way
Get a no-obligation cash offer on your California home in 24 hours. No fees, no commissions, no obligation to accept. Want the number first? See how we pay cash for homes in California. Get your free cash offer or call (855) 699-6090.
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My Home Sold
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