When someone has a mortgage the loan is secured with a lien. A lien means a home is being pledged as collateral for a loan. Any creditor that has a lien on a property has a security interest in that property. If the owner does not pay a mortgage, the creditor can foreclose. When a home goes through foreclosure for non-payment, it will be sold at a sheriff's auction to the highest bidder. There are a few scenarios that can transpire regarding the liens. Sometimes liens can be paid off from the proceeds of the sheriff's sales. I guess you need professional help from a tax attorney in your local area.