Short Sale

shamu profile photo

I have a very good short sale situation.However, there is IRS lien also. Is it possible to negotiate with IRS to reduce lien amount? Your feedback will be very much appreciated.

Comments(2)

  • TheShortSalePro13th January, 2004

    Yes, It is entirely possible to negotiate a release of lien, or a reduction in payoff.

  • CSMcMahon13th January, 2004

    Hello,
    I was just in a situation with an IRS lien. The lien was around 10k and the homeowners lost the property at foreclosure. The attorneys did a bad foreclosure and knowone knew the lien was there. I could have gotten out of it but even paying 10k the deal was still worth it. Bottom line, I bought the property and had a choice of waiting 120 days for the IRS to waive their right of redemption or see if I can negotiate a pay off. FYI, generally I am told that unless the lien is substanial the IRS usually waives their rights. I spent quite a long time trying to find the right person at the IRS and explained that I would like to make them an offer (they have a specific form to do so which they faxed to me). Along with the offer I faxed them a statement of value (on the very low side) from a local realtor who is a friend. The IRS will ask for this or an appraisal. I sent back the offer form offering $1000. They would other wise receive $0. They gladly took the $1000 and sent me a letter to record that cleared the title. Yes, you can negotiate with the IRS.
    Hope this helps

Add Comment

Login To Comment