InnoVest Resource Management's Foreclosure Forum

Home Discussion Board "Hands-On" Training Title Holding Trust Speaking Schedule Store Foreclosure Codes 50 State Resource Data Foreclosure Glossary Foreclosure Statistics 60+ Yrs Interest Rates Fillable Forms Archived Articles Dingbat Retirement Plan Links Contact / Map Home

[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Wiped off vs. Wiped out Posted by Ward-CA- on July 02, 2003 at 8:19 AM In Reply to: priority of lien posted by bh1240 on July 01, 2003 at 7:57 AM : a property has a deed of trust recorded on Jun 24,1992 and is for trustee sale. it also has serveral tax lien, federal and state. the first federal tax lien is for tax period ended 12/31/92 and recorded on jul 11,94. : next federal tax lien is for year 94,95 and recorded on 7/20/98.the last federal lien is for year 96 97 and recorded on 4/27/00. these are all 1040 tax lien. the first state tax lien was for year 94,95 and record on 5/29/97. there are another 3 state tax recorded later. Can this trustee sale cancel federal and state tax liens? or which tax lien can be cancelled,which one can not be cancelled? ================= Liens, even state and federal, take their priority from the date they were recorded in the local county recorder's office. Most junior liens, including state and federal tax liens, are wiped off the title of a property by the foreclosure of a senior lien, but they are NOT wiped out or cancelled as far as the foreclosed debtor is concerned. They still exist, but just aren't lodged against the title of the foreclosed property any more. In your example, the foreclosure of the 1992 trust deed will wipe off ALL subsequent tax liens, but wipe OUT none. Hope this helps. Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : : a property has a deed of trust recorded on Jun 24,1992 and is for trustee sale. it also has serveral tax lien, federal and state. the first federal tax lien is for tax period ended 12/31/92 and recorded on jul 11,94. : : next federal tax lien is for year 94,95 and recorded on 7/20/98.the last federal lien is for year 96 97 and recorded on 4/27/00. these are all 1040 tax lien. the first state tax lien was for year 94,95 and record on 5/29/97. there are another 3 state tax recorded later. Can this trustee sale cancel federal and state tax liens? or which tax lien can be cancelled,which one can not be cancelled? : ================= : Liens, even state and federal, take their priority from the date they were recorded in the local county recorder's office. : Most junior liens, including state and federal tax liens, are wiped off the title of a property by the foreclosure of a senior lien, but they are NOT wiped out or cancelled as far as the foreclosed debtor is concerned. : They still exist, but just aren't lodged against the title of the foreclosed property any more. : In your example, the foreclosure of the 1992 trust deed will wipe off ALL subsequent tax liens, but wipe OUT none. : Hope this helps. Optional Link URL: Link Title: Optional Image URL: [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

Information provided by this website is for informational purposes only and is not a substitute for professional advice. Please consult your investment advisor and/or attorney before entering into any transaction.

Copyright © 1997-2003, InnoVest Resource Management
http://www.foreclosureforum.com

InnoVest Resource Management, 4569-A Mission Gorge Place, San Diego CA 92120-4112
(619) 283-5444, Fax (619) 283-5455