Short answer
Order a title search from a title company or ask a real estate attorney. Judgment liens are recorded through the county prothonotary, and the IRS files a public Notice of Federal Tax Lien. In Philadelphia, you can ask the City about tax and water liens. Check before you list.
Start with a title search
A title company or attorney can search the public records and give you a list of recorded claims. This is the most complete way to know what a buyer will find. It is worth doing before you sign a contract, because surprises later can delay or end a sale. Many owners do not know what is on record against their house. Liens can arise from court judgments, unpaid taxes or water bills and old contractor disputes. They do not always come with a letter. A title search is the fastest way to see the whole picture, and it usually costs less than the problems it can prevent. If you plan to sell, do it early.
Judgment liens
Judgment liens are recorded county by county through the prothonotary's judgment index. A judgment entered in a county creates a lien on real estate there for five years unless the creditor revives it. If you ever had a court case that went against you, ask for a search of that county and any county where you own property.
Tax and water liens
The City of Philadelphia files liens for unpaid property taxes and water charges each year or more often. The City's Department of Revenue can tell you what you owe. For federal debts, the IRS describes a public Notice of Federal Tax Lien, and you can ask the IRS for lien information if you owe back taxes. Counties outside Philadelphia run tax claim bureaus under the Real Estate Tax Sale Law.
Questions to ask
Ask the title company what its search covers, and which counties it checked. Ask whether it searched for judgments against all the names on the deed. Ask whether it found tax or water liens and whether the numbers are current. Ask about federal tax liens. Ask about open mortgages that you thought were paid off, since old satisfactions are sometimes not recorded. Ask for copies of everything it finds. If something looks wrong, such as a debt you never owed, tell the attorney right away. Errors can be fixed, but the fix takes time.
After you find them
Make a list with amounts, dates and who holds each lien. Compare the total to your expected sale price. If equity remains, you can sell. Kaizen Home Buyers buys houses as-is for cash, with no repairs and no agent commission. We make offers within 24 hours and can close in 14 to 30 days or on your date. Call 267-329-0084. An attorney can help negotiate payoffs.