Can You Refinance to Pay Off a Tax Lien?
Finding out that the Australian Taxation Office has placed a lien against your assets is a tough pill. The amount that you owe determines whether or not the lien becomes an impediment. Among the common liens is against a property. While you own the property, you have time to pay off the debt. However, once you attempt to sell the home, the homebuyer’s legal team can find it. In some cases, it won’t stop the sale. It could cause the homebuyer to renegotiate their offer.
It’s possible to refinance to pay off a tax lien. The process requires several factors to go in your favor. For example, the refinance home loan result should net your savings. In theory, you can apply the savings to your tax liability. After refinancing a mortgage, you don’t receive lump savings upfront. Instead, the monthly repayments drop.
Most banks will not agree to help individuals refinance their tax debt. As a non-bank lender, Mortgage House offers clients alternative solutions such as debt consolidation loans. Our loan specialists explore your current financial circumstances and goals. After you apply, they have the information needed to find financial solutions. In some cases, it makes sense to refinance a home loan.
Refinance to Pay Off a Tax Lien Conclusion
While you cannot refinance tax debt, you can refinance to pay off a tax lien. In other words, you can refinance your mortgage in hopes of reaping some savings. To explore your options, contact our Mortgage House loan specialists today.