How liens apply at auctions an other information about liens.

[Victor Williams]

Hi everyone. I was wondering if there are any good books to navigate the world of liens and how they work( mortgage, tax, child support, builder, etc) . For instance if a person owes a mortgage on a property and it goes to auction because of tax defaults what happens to the mortgage said person owed etc.  Second mortgages etc. I dont want to get into the world of buying at auctions if I dont understand how this works.

[Ron Flatt]

You will need to look for your states statues on this.  In Texas, a tax lien is superior to everyone except the IRS and the IRS will sign off to the school district, for the sale.  I have only had one issue with this we are taking them to task on that their lien null and void.  We will see how this plays out.  

I have been buying tax properties in Texas over 20 years.  It can be very lucrative in some markets.