Yes, this is what the specialist assigned told me but the settlement of liens or at least to release the lien, is taking a long time!, and the buyer has been waiting a long time to start with their inspection and financing.  The offer much more than what the approval to participate letter is for.   The attorneys did a title search as soon as we got an offer.   We found out that there was a lien from the IRS for more than $35,000, and other 4 liens with a total of about $42,000.   Can you tell me what you do in these cases in regards to the buyer?  Buyer can not keep waiting but I told them that we usually find this kind of problem before closing when they have done their inspection and financing. That they are welcome to start the process while the settlement of these liens take time but they don't want to do it until we get final approval from the bank.  I am afraid that they will walk since this will take longer and at the end the HUD may not approve it.  So I would appreciate any suggestions! Thanks!