Looking for thoughts on a situation

[Anonymous]

Hey err'body!

I've really been stressing out lately to the point where I can't do anything but pace around, my hobbies are meaningless, and my fingernails are shredded.  The situation is thus:

We owe the IRS $62k.  At the same time, we want to buy a house.  We've been biding our time waiting for the IRS to respond to our payment plan offer in this COVID-delayed time.  Well, they finally accepted our payment plan.  At the same time, they filed a lien.  One of the other users here said they pretty much always file a lien if you owe more than 50k, and we should still be able to qualify for a loan.  That said, we're hoping to apply late September or possibly into October.

Now the issue.  It comes with a small backstory.  In the past we were stupid with our money.  Frankly we were dumb and actively destroying our credit.  There's lots of small things but that's what it boils down to, and it ended up with us living in a trailer park.  Apartments out of the question because we had dogs.  Originally we had an older place we bought for cash and owned, and just had to pay lot rent.  In 2014, my husband had an affair.  He moved out, and he "bought" a brand new trailer nearby.  Him and her lasted a whole month.  I took him back and ended up with the new place.

Bought is purposely in parenthesis because... well, I'm not sure if he actually bought it or if it's a lease.  I wasn't part of the purchase, though we live here now since it's newer and we're stuck paying for it anyway.  I ask him if there was a closing and he said no, he just signed some papers and paid a deposit.  I can't find the papers anywhere but I know I had them at one time.

So the issue, clearly, is selling this place now that we have a lien.  I don't think it's a real mortgage but the owners say it's a mortgage and we need to sell if we want to leave.  It's not on his credit report.  We asked someone else we knew who lived here and got out, and they said it's a "non reporting mortgage".  Whatever that is.  I googled it and find nothing.  My husband called up there and they basically said it's an in-house mortgage.  He said, from what they told him, it's not actually in his name, it's in theirs.  

So... it's a lease?

I'm just wondering if anyone might have an inkling, from the info given, whether we can get away from this place cleanly regarding the IRS.  We might be able to nearly cover what we owe the IRS in a sale... originally our plan was to sell for what we owe (20k) but I see mobile homes less nice selling for 80k, which means we could come pretty close to paying off the lien...

I don't mind trying to find a buyer.  That was our plan all along.  I'm not trying to leave them hanging, it's just at this point... CAN we sell with the lien?  Do we own this or what.  No idea.

They're kinda sneaky up there in the office so I've always been doubtful this is a "mortgage".

Their "finance guy" is supposed to be calling my husband back today, and he's going to request they send a copy of the original agreement.  If they comply I can probably post it up for further inspection but at the moment I'm just looking for thoughts while I go stir crazy.

[SouthJamaica]

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@Anonymous wrote:

Hey err'body!

I've really been stressing out lately to the point where I can't do anything but pace around, my hobbies are meaningless, and my fingernails are shredded.  The situation is thus:

We owe the IRS $62k.  At the same time, we want to buy a house.  We've been biding our time waiting for the IRS to respond to our payment plan offer in this COVID-delayed time.  Well, they finally accepted our payment plan.  At the same time, they filed a lien.  One of the other users here said they pretty much always file a lien if you owe more than 50k, and we should still be able to qualify for a loan.  That said, we're hoping to apply late September or possibly into October.

Now the issue.  It comes with a small backstory.  In the past we were stupid with our money.  Frankly we were dumb and actively destroying our credit.  There's lots of small things but that's what it boils down to, and it ended up with us living in a trailer park.  Apartments out of the question because we had dogs.  Originally we had an older place we bought for cash and owned, and just had to pay lot rent.  In 2014, my husband had an affair.  He moved out, and he "bought" a brand new trailer nearby.  Him and her lasted a whole month.  I took him back and ended up with the new place.

Bought is purposely in parenthesis because... well, I'm not sure if he actually bought it or if it's a lease.  I wasn't part of the purchase, though we live here now since it's newer and we're stuck paying for it anyway.  I ask him if there was a closing and he said no, he just signed some papers and paid a deposit.  I can't find the papers anywhere but I know I had them at one time.

So the issue, clearly, is selling this place now that we have a lien.  I don't think it's a real mortgage but the owners say it's a mortgage and we need to sell if we want to leave.  It's not on his credit report.  We asked someone else we knew who lived here and got out, and they said it's a "non reporting mortgage".  Whatever that is.  I googled it and find nothing.  My husband called up there and they basically said it's an in-house mortgage.  He said, from what they told him, it's not actually in his name, it's in theirs.  

So... it's a lease?

I'm just wondering if anyone might have an inkling, from the info given, whether we can get away from this place cleanly regarding the IRS.  We might be able to nearly cover what we owe the IRS in a sale... originally our plan was to sell for what we owe (20k) but I see mobile homes less nice selling for 80k, which means we could come pretty close to paying off the lien...

I don't mind trying to find a buyer.  That was our plan all along.  I'm not trying to leave them hanging, it's just at this point... CAN we sell with the lien?  Do we own this or what.  No idea.

They're kinda sneaky up there in the office so I've always been doubtful this is a "mortgage".

Their "finance guy" is supposed to be calling my husband back today, and he's going to request they send a copy of the original agreement.  If they comply I can probably post it up for further inspection but at the moment I'm just looking for thoughts while I go stir crazy.

---

IMHO you need to be talking to a local lawyer who does house closings, and spread your whole story on the table, to get actual answers to your questions.

[Anonymous]

yikes

that makes it sound like its a bigger issue than I thought

I'm probably stuck until they send us a copy of the paperwork.  Not gonna lie, I'm a little worried they won't give us a copy

[sccredit]

It sounds to me like this is an installment sale. IF the payoff is $20k AND the IRS is owed $62k AND comparable proerties are selling for $80k+ you MIGHT be able to come out okay and get the IRS gone.

[GatorGuy]

If the IRS put a lien on it then you likely own it since I doubt they would put a lien for you on someone else's property.

I'd start prepping to see how you can get the max for it. 

[Anonymous]

Hmmm how can I find out if there is a lien specifically on the place?

I was under the impression the lien was just on our profiles and would kick in if we tried to sell anything

I might not actually know how liens work, I'm new to this situation

[coldfusion]

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@Anonymous wrote:

Hmmm how can I find out if there is a lien specifically on the place?

I was under the impression the lien was just on our profiles and would kick in if we tried to sell anything

I might not actually know how liens work, I'm new to this situation

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Whenever the IRS files a tax lien they also file a public notice of having placed a tax lien.  You should have been mailed a copy.

Check with your county Register of Deeds as the lien should have been filed with them.    Many counties have records available online, yours might be one of them.

p.s. I believe the threshold is $25K, not $50K.

[coldfusion]

While you're at it you can also search the Registrar of Deeds to see what if any records exist of a deed being recorded with your and/or your husbands name.   Also, you can also try to contact the city clerk's office where that property is located to discover who is being billed for property taxes.

[Anonymous]

I believe since it's a mobile home it's a title, is that even a searchable thing?

I will check on the property tax 

ETA:

I was able to do a property tax inquiry online.  It shows the park as the owner of the place... but I guess that is normal when something with a title is financed so maybe that means nothing.  The tax was billed to them and they were the ones who paid it, but they also send me a w2 for the payment so I guess it's taken out of the monthly payment.  On the plus side it gave me the VIN number.  I'm trying to figure out how to look that up but no luck googling so far.

[tcbofade]

If it has a VIN number, call the DMV.

They'll tell you what name is on the title.

Good luck!