Discovering that you’re involved in any lawsuit is likely unwelcome news. When you’re trying to sell your home and find a lis pendens attached to your property, you might think you’re stuck.
Question number one is, “Can you sell a house with a lis pendens?”
The short answer is yes, but it’s not always simple. Whether the suit is because of a divorce, foreclosure, a lien, or any other situation, you’ll have to jump through some hoops before closing. At The Red Door Guys, we buy houses in Richmond and work with homeowners in exactly this kind of situation all the time, and we have the answers you need.
Understanding What a Lis Pendens Means
Understanding a lis pendens is the first step to moving forward. The term literally means “lawsuit pending.” It’s a public notice filed in the county records stating there’s a legal claim against your property, which raises red flags for buyers and lenders.
The suit could come from:
- Foreclosure proceedings
- Contractor or unpaid debt claims
- Disputes over ownership
Can You Sell Property With Legal Claims?
So, can you sell property with a legal claim attached? Technically, yes. Nothing can stop you from listing your home. But practically? It’s tougher.
Most traditional buyers won’t want to take on the risk, and lenders may refuse to finance the purchase. Title companies often won’t insure the sale, either. The result is that many listings with a lis pendens languish on the market or sales fall through at closing.
However, cash buyers are often willing to move forward. The lis pendens impact on a home sale is significant, but it’s not the end of the road. Working with a buyer who understands the process and isn’t afraid of legal complexity can make all the difference.
Selling a house with a lis pendens to a cash buyer is often the easiest option. Companies that specialize in buying and selling houses in this situation understand the risks and can work around them.
You can also resolve any legalities by settling the dispute or paying off the claim. This will remove the lis pendens and clear the title. If that’s not possible, you can still list your home, but you’ll need to be up front and disclose the issue in accordance with the lis pendens property sale rules. Expect fewer offers and possible price negotiations.
Are You Looking for a Faster Way Out?
Dealing with a house with a pending legal notice doesn’t mean you’re out of options. It just means you need the right partner in your corner.
The Red Door Guys knows how to navigate these tricky situations, and we’re here to help you get out from under the stress and move on with your life. You can sell a house with a lis pendens, and with the right team, you might be surprised how smoothly it can go.
Call us at (804) 395-7355 today to talk through your options. Whether you’re dealing with foreclosure, legal claims, or a house with a lien, we’re ready to help you move forward with confidence.
