Can I Sell Land in Phoenix With Back Taxes? Here’s What You Need to Know

Dealing with unpaid property taxes can feel overwhelming—especially when you own land you no longer want. Whether it’s inherited land, vacant land you never developed, or a piece of property that became more of a burden than an asset, back taxes can complicate things quickly. Many landowners in Phoenix start to worry when they receive notices from the county or threats of tax liens or tax sales.

The big question almost everyone asks is simple:
“Can I still sell my land even if I owe back taxes?”

The answer is yes, you absolutely can. But before you make any moves, it’s important to understand what happens when land has delinquent taxes, how selling works, and what options you realistically have. Let’s break everything down in a clear, simple way so you know exactly what to do next.

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What Exactly Are Back Taxes on Land?

Back taxes occur when you fall behind on property tax payments. Unlike houses, land often gets forgotten—especially if it doesn’t produce income or isn’t used regularly. When those tax bills pile up, the county adds penalties, interest, and sometimes legal fees.

Most counties follow a similar pattern:

• Year 1: Taxes become delinquent
• Year 2: Penalties increase, liens may be filed
• Year 3+: Property may be scheduled for a tax sale

If ignored long enough, the county can legally take ownership. That’s why selling before things escalate is often the smartest option.

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Can You Sell Land With Back Taxes in Phoenix?

Yes — you can sell even if you owe thousands.

Property taxes do not remove your ownership rights. Even with a lien, you still legally own the land and can sell it at any time. What matters is how the back taxes are handled at closing.

Buyers who understand tax-delinquent land—such as land investors or companies like We buy Vacant Land—deal with these situations every day.

Here’s the good news:
Back taxes do NOT stop you from selling. They simply need to be paid off during the sale.

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How Selling Land With Back Taxes Works

There are two main ways a sale can happen when taxes are owed. Both are simple, but one is much easier depending on your financial situation.

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Option 1: You Pay the Back Taxes Before Selling

This is the traditional route. You pay the county what’s owed, clear the lien, and then sell the property normally.

Pros:

• Clean title
• Broader pool of buyers
• Higher selling price

Cons:

• You need the money upfront
• You still deal with paperwork and delays
• Not ideal if penalties are very high

This option works if the back taxes are small and manageable.

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Option 2: The Buyer Pays the Back Taxes at Closing

This is the easiest and fastest option for most landowners.

Some buyers—especially land-buying companies—will:

• Pay the delinquent taxes
• Clear the lien
• Purchase the land as-is
• Handle all paperwork with the county

The amount you owe gets deducted from the sale price, meaning you don’t have to come up with cash out of pocket.

Companies that specialize in land, like We buy Vacant Land, often follow this process because it simplifies everything for the seller.

This option is perfect when:

• You can’t afford the taxes
• The tax bill is large
• You want a fast sale
• The land isn’t worth repairing or improving
• You want to avoid a tax sale

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How Back Taxes Affect the Selling Price

Back taxes don’t stop the sale, but they do affect how much you walk away with.

Here’s what typically happens:

• The buyer agrees to a purchase price
• A title company checks the tax records
• The back taxes + fees are subtracted
• You receive the remaining balance after closing

It’s similar to paying off a mortgage—just another lien deducted at the end.

Many landowners are surprised to learn that they can still walk away with a check even when thousands are owed.

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Why Selling Before a Tax Auction Matters

Every county has slightly different rules, but tax sales follow the same pattern:
Unpaid taxes → legal notices → final warning → auction.

Once the land goes to auction:

• You lose ownership
• You lose your equity
• The county may not pay you the excess money
• Redeeming the land becomes expensive or impossible

Selling before the county takes control protects both your ownership and your financial interest.

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Why So Many Landowners Choose to Sell Instead of Paying the Taxes

Back taxes usually point to a bigger issue, such as:

• The land is too far away
• You inherited a property you don’t want
• You don’t have time to deal with upkeep
• It doesn’t generate income
• You don’t want to build on it
• Annual taxes are too high
• You simply want to be done with it

Selling the land gives you a clean break and avoids future penalties and headaches.

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What You Need to Prepare Before Selling

Selling land with back taxes is simple, but being prepared helps the process move faster.

1. Get the Tax Amount Owed

Call the county treasurer or check their website. You’ll need:

• Delinquent years
• Penalties
• Interest
• Total payoff amount

2. Gather Basic Documents

At minimum:

• Your ID
• Deed
• Any past tax receipts
• Parcel number (APN)

3. Decide If You Want to Pay the Taxes or Have the Buyer Pay

Most sellers choose to let the buyer handle it during closing.

4. Work With a Buyer Who Understands Tax-Delinquent Land

Not all buyers know how to work with the county properly. Companies like We buy Vacant Land specialize in situations exactly like this.

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Benefits of Selling Your Phoenix Land With Back Taxes Owed

Selling your land now—before taxes pile up further—helps you:

• Avoid a tax auction
• Eliminate penalties and interest
• Stop county notices and legal stress
• Get cash instead of losing the property
• Walk away without spending money upfront
• Transfer responsibility instantly

For many landowners, selling becomes a fresh start.

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Final Thoughts: Yes, You CAN Sell Land With Back Taxes in Phoenix

Back taxes may feel stressful, but they don’t take away your ability to sell your land. Whether you owe a few hundred or several thousand, you still have options—and more flexibility than you probably expected.

You can:

• Pay the taxes
• Or sell the land and let the buyer clear them

Either way, you remain in control of what happens next.

If you want a fast, no-hassle option, a land-buying company like We buy Vacant Land can handle the taxes, paperwork, and closing without you paying anything upfront.