1. What Is a Property Lien?

A lien is a legal claim against a property due to unpaid debts. In Michigan, these can be tax liens, judgment liens, or contractor liens. The lien ensures the debt gets paid before ownership transfers.

2. Common Types of Liens in Michigan

Property Tax Liens: From unpaid local or county taxes.
Mortgage Liens: Created when borrowing against property.
Mechanic’s Liens: Filed by contractors for unpaid renovation work.
Judgment Liens: Result from lawsuits or unpaid bills.

3. How Liens Affect Selling Your Home

When a lien exists, the home cannot be sold with a clear title. Title companies flag these during closing. Sellers must either pay them off or negotiate a payoff. This often delays or even cancels traditional sales.

4. Options for Homeowners with Liens

If you can’t afford to pay, you can:

Request a payment plan with the lienholder.
Negotiate for lien release.
Sell to a cash buyer who assumes lien responsibility, like I Buy Michigan.

5. The Ann Arbor Market Perspective

In competitive markets like Ann Arbor and Dexter, buyers expect clean titles. Selling directly to a cash buyer helps homeowners avoid losing potential offers due to unresolved liens.

6. Final Thoughts

Understanding liens early helps you make informed selling decisions. Partnering with experts can help you avoid foreclosure and protect your equity.