Sewer Line Capped

[Ryan O.]

I am considering making an offer on a REO that has about $5000 in sewer liens and the sewer has been capped for non payment. I learned of the sewer problems while talking to the next door neighbor and confirmed it with a FOIA request to the sanitary district.

The sewer lien gets wiped out with a warranty deed correct?

I assume I will still be on the hook for digging up the yard/street and reconnecting to the sanitary sewer, what are your guys thoughts on that.

[Bill Gulley]

If the seller provides a warrant deed, they will be responsible to clear the lien as they warrant title free and clear of any liens and encmbrances of record unless excepted. Check your title policy Schedule BII. Sellers generally must pay off liens to convey good title. Ask the closing title agent or your attorney.