Who is responsible for the taxes if a property sold after January 1st?
Although the tax bill will bear the name of the assessed owner as of January 1st, the new owner is responsible for all taxes once the sale of the property is finalized. The attorney assisting each party will investigate any outstanding taxes and request a Municipal Lien Certificate reflecting the tax status. Therefore the amount of tax owed by the old owner can be determined at the time of closing and is typically deducted from the selling price. Once this deduction is made, the new owner is responsible to pay all bills, as they become due in order to avoid interest, demand fees or foreclosure.
