Tax Liens on inherited property in CA

[Raphael Turner]

Hello all, I stand to inherit a home that has about 15,000 dollars worth of tax liens on it. The property is worth about 360K and is otherwise free and clear. I won't be able to take over the property unless I take it on with the tax liens. My question is will I hurt my credit score if I take on the property and then aggressively pay down the liens? Is it something you would do?

[Jessop Adams]

It should not hurt your credit score.  However, if the property has multiple years of tax liens, you will want to maker sure they are paid before they can foreclose on the property.  Additionally, the longer you wait on paying them off, the more interest accrues.  If the property is truly worth $360K, then speaking with your lender about getting a small loan to pay off the full amount of the taxes might be another solution and amortize the payments out over a longer period so you can make payments easier.