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Can You Sell a Snohomish or King County Home While Behind on Property Taxes?

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Can You Sell a Snohomish or King County Home While Behind on Property Taxes?

Can you sell your Snohomish or King County home if you’re behind on property taxes?
Yes, you can sell a home even if you owe back property taxes. Falling behind is more common than people realize, especially after financial hardship, job changes, or rising tax assessments. The key is acting early, understanding your payoff amount, and working with an experienced local REALTOR® like Marie‑Noelle Metseye who can coordinate with county tax offices, escrow, and buyers so the sale closes smoothly.

What Happens When You Fall Behind on Property Taxes?

In both Snohomish and King County, unpaid property taxes become a lien on the home. This does *not* mean the county takes your home immediately, but the taxes must be paid before ownership can transfer.
Key points:
• Property tax liens take priority over mortgages
• You can still live in or sell the home
• Interest and penalties increase the longer taxes remain unpaid
• The county can begin foreclosure after multiple years of nonpayment

Step 1: Find Out Exactly How Much You Owe

Before listing, request a payoff statement from the county treasurer. This document shows the exact tax balance, interest, and penalties due at closing.
Marie‑Noelle helps coordinate this step and verifies accuracy with escrow.

Step 2: Determine Whether You Have Enough Equity to Sell Normally

Most homeowners in Snohomish and King County have enough equity to pay off delinquent taxes from the sale proceeds. A standard sale often solves the entire issue without requiring out‑of‑pocket payments.
A quick market review helps answer:
• Will your sale price cover the taxes you owe?
• Will your mortgage and taxes be fully paid at closing?
• Will you walk away with equity?

Step 3: Understand What Happens at Closing

Escrow pays your delinquent property taxes directly from your sale proceeds. You do not need to pay them in advance. This is handled automatically once the home goes under contract.
At closing, escrow pays:
• Past‑due taxes
• Interest and penalties
• Your mortgage balance (if applicable)

Step 4: If You Don’t Have Equity, Explore Alternative Solutions

If the tax lien plus your mortgage exceed your home’s market value, you still have options.
Marie‑Noelle helps explore:
Short sales, where the lender approves selling for less than owed
Payment plans with the county (case‑by‑case)
Investor sales, which may pay off taxes depending on offer

Step 5: Disclose Your Situation Honestly

Buyers don’t need every personal detail, but they do need to know about liens affecting title. Marie‑Noelle ensures disclosures and title documents are accurate so buyers remain confident and the transaction stays on track.

How Property Tax Delinquency Affects Buyer Financing

Tax liens must be cleared for title to transfer. Buyers cannot close on a home unless the taxes are resolved. This is why payoff statements and accurate closing documents are essential.
But good news:
• Buyers are rarely discouraged by tax debt on the seller’s side
• The lien does not transfer to the buyer
• Escrow handles payments automatically

Local Market Insight

Property tax delinquency is common in fast‑growing areas where assessments have increased, including Bothell, Everett, Lynnwood, Shoreline, Seattle, Renton, and Mill Creek. Because demand in both counties remains strong, most homes still sell quickly even when taxes are owed.

Conclusion: Yes, You Can Sell a Home While Behind on Taxes, and It May Be Easier Than You Think

Falling behind on property taxes is stressful, but you still have strong options. With the right plan and expert support, most homeowners successfully sell, pay off delinquent taxes, and move forward with financial relief.
If you’re behind on taxes and need guidance, reach out to REALTOR® Marie‑Noelle Metseye for a confidential, judgment‑free consultation.
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