You do. Were I to sell my house, on which I owe about $50,000, the first fifty grand of the purchase price goes to paying off my old mortgage. This is as it should be: the lienholder is satisfied, the lien is removed, and the buyer obtains clear title.And hereu2019s the clincher: it doesnu2019t matter what the lien is for. Might be a mortgage, might be back taxes. Either way, the seller doesnu2019t get a dime of the proceeds unless and until the lien is lifted.