Michigan guide

Selling a House With Back Taxes in Michigan

Updated October 2026 · 5 min read

If you owe back property taxes on a Michigan house, the most important thing to understand is that the process has deadlines — and they don’t pause because you’re trying to sell.

How a delinquent bill becomes a foreclosure

Property taxes are billed locally and collected by the city or township treasurer. Once they go delinquent, the county treasurer takes over collection. Michigan law sets out a process that can lead to forfeiture and foreclosure, generally with a redemption period during which the owner may be able to pay and keep the property. Whether and when that happens depends on the parcel, the county, and the amount owed.

The exact dates depend on the county and the year the taxes were due. Wayne, Oakland, and Macomb each publish their own schedules, and the county treasurer’s office is the authoritative source for your parcel.

Three balances that matter

• Property taxes. Delinquent taxes plus any interest, fees, and administrative costs attached to them.
• Water and sewer. In Detroit and some other cities, unpaid water balances can become a lien on the property.
• Liens and code tickets. Municipal tickets, nuisance abatement charges, and contractor liens all show up in a title search.

How a sale clears the balance

Outstanding property taxes, liens, and other obligations may affect a property’s sale. A title company typically orders payoff letters from the county treasurer and the water department, and the settlement statement shows what was paid and what you receive. Amounts, payoff requirements, available proceeds, and closing conditions depend on the property’s records and the circumstances of the transaction, and should be verified with the appropriate authorities and closing professionals.

In many transactions the payoff is handled at closing rather than paid up front, but that depends on the amounts involved, the closing requirements, and whether the sale proceeds are sufficient. Confirm the payoff figures and what you would net with the county and the closing professionals before relying on them.

What a buyer will ask for

• The parcel number and property address.
• Whether the house is occupied, vacant, or rented.
• Any notices you’ve received from the county or the city.
• Whether probate is involved.

What to do this week

1. Call the county treasurer and ask for the exact payoff and the redemption deadline in writing.
2. Request a water payoff from the city.
3. Ask a title company for a preliminary title search so you know what else is attached.
4. Talk to a Michigan attorney or tax professional about your specific situation.

Selling won’t always be the right answer, but knowing the numbers makes the decision much clearer.