can a tax lien be reduced if a property is switching owners

[Raven Walker]

So I have someone that asked me an interesting question. 

He is considering buying a property that has a tax Lien on it. 

The seller is asking 38k for his property and if he bought this property regularly, all cash $38,000, the 28,000 covers the cost of the lien and the seller would walk away with about $3000 after everything is prorated. 

He is considering doing a quit claim deed and giving the seller $2000. 

The property is rent ready but its assessment value is about 35k, so clearly in a low income area. Rent in the area range from 900-1150.

Could he use quit claim and give the seller $2000 and have tenants pay off the owed taxes or has anyone ever heard of getting a tax bill reduced?

I heard one of my investor buddies say he's got a municipal tax lien reduced often in our county but you know you can't always trust what people say. 

The first thing I said to my friend is that it doesn't sound like too bad of an idea but of course get a title search. 

The numbers up top are actual numbers. looking for some feedback. 

[Raven Walker]

@Ankit Patel @Jonathan Herron Hey guys, thanks for your input

-So recently I made it to Camden City hall and spoke to someone in the law office and inquired about the tax lien reduction

    - It is possible. I will explain in the steps she gave me with examples. 

123 Main st has a Municipal tax lien for $35,000 total. The principle amount is $19,000 the rest is interest from previous years.

To be eligible for the tax lien reduction program, a new assessment will need to be done on the property. If the assessment is lower than the principle amount due then the lien gets reduced to that amount.

The assessment amount is due within 60 days. So an owner can quickly sell their property to someone like me that can buy/sell properties that need full rehabs. 

Most of the homes need full rehabs but have high tax liens. This kept me from pursuing  wholesale deals because the lien was higher than the property value. 

So if you guys are interested in knowing more, I'll keep you updated on new info.