of the most bureaucratic, complicated solutions for those with delinquent property tax liens. If you have a tax lien on the property and want to opt for a short sale be sure you contact a real estate agent who specializes in short sales, such as a Certified Distressed Property Expert (CDPE). Typically, a seller’s credit score will drop by 75 to 200 points after selling property in a short sale. This is less severe than a foreclosure, in which experts estimate that a foreclosure will lead to a credit score decrease of 200 or 300 points. The short sale will stay on your credit report for seven years, but you can finance a new home purchase within one to four years of a short sale, depending on credit score, loan type, and down payment. Again, a foreclosure is even more severe. With a foreclosure, that time ranges from three to seven years. While property tax delinquency can lead to property tax foreclosure on the property, it’s not a final sentence. Remember, the county has an obligation to notify you in writing when the foreclosure action is started on your property. Also, foreclosing on a property requires a court hearing to be held on the matter. The court will need to give you a 30-day notice of this hearing. In the notice, the date, time, and place of the hearing will always be clearly specified. This 30-day notice is the best time to call your bank and financial advisor and evaluate your situation to determine the best course of action. Your bank, attorney, and financial expert are your best chances of advantageously handling the foreclosure situation. Due to the complexity brought about by the tax lien, it’s highly recommended that you also contact a financial expert or tax attorney. The specialized agent and the attorney will walk you through all the details of your options and help you finalize the complicated aspects of a short sale involving a tax lien.
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