Sell a House with a Lien in Cleveland: Your Complete Guide

By Steven Dragmen | Licensed & Bonded Real Estate Investor | Serving Cleveland Since 2003

How to Sell Your Cleveland Home with a Lien (Even if You Think You Can’t)

Selling a house with a lien in Cleveland is absolutely possible—and faster than most homeowners think. Whether you’re facing a tax lien, mechanic’s lien, or judgment lien, We Buy Houses Cleveland handles these situations daily. In fact, many sellers with liens close in just 7-14 days with our cash offer process, while traditional sales take 60-90 days.

Here’s everything you need to know to sell your house with a lien—including Ohio-specific laws that apply to you.

Types of Liens on Ohio Properties (And How They Affect Your Sale)

Tax Liens on Your Cleveland Home

When you owe property taxes or income taxes, the Ohio Department of Taxation can place a lien on your home. In Ohio, the government can foreclose on tax liens after 6 months of unpaid property taxes. If you’re selling, the tax lien must be paid from your sale proceeds at closing. The good news? Most title companies and attorneys can coordinate this directly, so you don’t have to come out of pocket.

Mechanic’s Liens (Contractor Payment Issues)

If contractors or subcontractors haven’t been paid for work on your home, Ohio law allows them to file a mechanic’s lien. In Ohio, mechanics’ liens must be filed within 120 days of the last work performed (ORC 1311.04). This gives you a 4-month window to either pay the contractor or resolve it with a buyer. Many cash buyers, like We Buy Houses Cleveland, can pay off mechanic’s liens directly at closing.

Judgment Liens (Court-Ordered Debt)

If you lost a lawsuit and didn’t pay the judgment, the winner can place a lien on your property. Judgment liens stay on Ohio property for 20 years and can prevent you from selling or refinancing. The only way to remove it is to pay it off or negotiate a settlement. We can arrange full payment at closing so you don’t need cash up front.

Other Common Liens

IRS Federal Tax Liens – Similar to state taxes, must be paid at closing
HOA Liens – For unpaid homeowners association fees
Consensual Liens – Your mortgage (this is normal)

How to Sell Your House with a Lien: Step-by-Step Process

Step 1: Get Your Lien Information (The Truth About Your Situation)

Before anything else, you need to know exactly what you’re dealing with. Order a property title report from a title company ($50-150). This shows:

All liens on your property
Lien amounts
Lien holders’ contact information
Recording dates

Pro tip: Most title companies in Cleveland can do this same day.

Step 2: Understand Your Payoff Amount

Contact the lien holder directly to find out the exact payoff amount. For liens that are accruing interest, like unpaid taxes, ask when the interest stops accumulating. Knowing this figure is crucial for assessing whether a traditional sale is worth pursuing. Many times, after deducting realtor fees, repairs, and carrying costs, you’ll end up with less than a cash offer.

3: Choose Your Selling Path (And Why Cash is Often Better)

Traditional Sale Path:

List with a realtor (6% commission)
Wait 30-60 days to sell
Buyer needs 30-45 days of financing
Coordinate lien payoff with 3+ parties
Total time: 60-90+ days
Total cost: 8-12% of the sale price
Risk: Buyer financing falls through

Cash Sale Path (We Buy Houses Cleveland):

Get a cash offer in 24 hours
No repairs needed
No buyer financing delays
We handle lien coordination
Total time: 7-14 days
Total cost: 0% commission
Guarantee: No deal falls through

For homes with liens, most sellers net the same or MORE money selling for cash in 2 weeks than a traditional sale in 3 months.

4: Disclose the Lien (Required by Ohio Law)

You are legally required to disclose liens to any potential buyer in Ohio. Failing to do so can result in legal liability. Include lien information on your disclosure form—most buyers will still purchase if the lien is being paid at closing. We Buy Houses Cleveland handles liens in any condition, so disclosure is never a problem.

5: Arrange Payoff at Closing

Once you have a buyer (or a cash offer from us), your attorney or title company handles lien payoff at closing. Here’s how it works:

Lien holder sends payoff statement
Closing attorney holds purchase funds
The lien is paid first from the sale proceeds
You receive the remaining funds
The lien is removed from the title

This process is standard and happens thousands of times yearly in Ohio.

Why We Buy Houses Cleveland is Your Fastest Option for Homes with Liens

You might think you need to figure this out alone. You don’t.

We’ve helped Cleveland homeowners sell homes with liens for over 20 years. Here’s why sellers with liens choose cash offers:

✓ No appraisal delays – We evaluate based on actual condition
✓ No buyer financing falling through – We have cash ready
✓ No realtor commission – Save 6% right there
✓ We handle lien coordination – Our attorney pays the lienholder directly
✓ No repairs required – Sell your home exactly as-is
✓ Close in 7-14 days – Or on your timeline
✓ Guaranteed closing – No “ifs” or “buts”

Most homeowners with liens net the same amount selling for cash in 2 weeks as they would after 3 months of traditional market, repairs, and realtor fees.

Learn more about how our process works.

Cleveland & Ohio Homeowners: Your Rights and Protections

You have more options than you think:

Tax liens don’t stop you from selling – Must be paid at closing
Mechanic’s liens expire – After 120 days in Ohio, the contractor must file or lose the lien
Judgment liens can be negotiated – Lienholder may accept partial payment
IRS liens don’t prevent sale – But must be addressed at closing

In Ohio, you have the right to:

Sell your home despite existing liens
Demand full disclosure of lien amounts
Negotiate lien payoff terms
Work with a cash buyer who handles lien coordination

Avoid These Common Mistakes When Selling a Lien House

❌ Don’t ignore the lien – It won’t go away and prevents closing
❌ Avoid hoping buyer financing falls through – Your sale falls with it
❌ Never wait for the lien to expire – Some never expire (judgment liens in Ohio last 20 years)
❌ Skip getting professional help – One mistake costs thousands
❌ Don’t overpay to remove it – Lienholder may negotiate
❌ Avoid listing on traditional market – Takes 3x longer with a lien

The single biggest mistake? Not considering a cash buyer first. By the time a traditional sale falls through, you’ve wasted 90 days and your situation may have gotten worse.

Ready to Sell Your Cleveland Home with a Lien?

You don’t need to figure this out alone. We handle liens every month.

📞 Call or Text Steven at (216) 303-8558

Ask about your specific situation. Steven understands Ohio lien laws and can tell you exactly how to proceed within minutes.

💻 Get Your Cash Offer Online

Submit your property details and get a fair cash offer within 24 hours. No appraisal. No inspections. No games.

Request Your Cash Offer Now

📍 We Serve All of Cleveland & Surrounding Ohio Communities

Lakewood, Parma, Strongsville, Cleveland Heights, Westlake, and beyond. See our complete service areas.

We Buy Houses Cleveland
Licensed, Bonded & Insured Throughout Ohio
Serving Cleveland Families Since 2003

Steven Dragmen, Owner
(216) 303-8558
https://cleveland.webuyhouses.com

Common Questions About Selling with a Lien in Cleveland

Q: Can I sell my house if I have a tax lien?

A: Yes. The tax lien is paid from your sale proceeds at closing. Ohio requires full disclosure, but buyers and lenders expect this.

Q: How fast can I close with a lien?

A: Traditional: 60-90 days. Cash offer (We Buy Houses Cleveland): 7-14 days. Learn more about our process.

Q: Do you buy houses with multiple liens?

A: Yes. We handle tax liens, judgment liens, mechanic’s liens, and any combination. Multiple liens actually make traditional sales harder, but our process remains the same. Get your cash offer today.

Q: How long does a mechanic’s lien last in Ohio?

A: In Ohio, a mechanic’s lien must be enforced within 2 years of filing (ORC 1311.23). The filing window is 120 days after the last work. If the contractor didn’t file within 120 days, the lien is invalid.

The Bottom Line

Selling a house with a lien isn’t complicated—it just requires the right partner.

Steven Dragmen and We Buy Houses Cleveland have handled every type of lien Ohio throws at homeowners. We understand Ohio’s lien laws, we coordinate directly with lien holders, and we close faster than any traditional sale.

Whether you have days or weeks to move, call us. We’ll explain your options, show you what you’ll net, and close when you’re ready.

📞 Call or Text: (216) 303-8558
💻 Get Your Cash Offer: Request Now
📍 Service Area: All of Cleveland & Surrounding Ohio

Licensed & Bonded Real Estate Investor | Serving Cleveland Families Since 2003