tax deed sales

[jatin]

I recently heard about tax deed sales as a way to invest in real estate. Can someone explain what tax deed sales are, how the process works, and what risks or benefits are involved? Also, how do they differ from tax lien sales?

 

[ankita]

A tax deed sale is a public auction where a property is sold to recover unpaid property taxes. When a property owner fails to pay their taxes, the government can sell the property to recoup the delinquent taxes and associated costs. These sales are typically held as auctions and the property is sold to the highest bidder.

 

[niyati]

Tax deed sales are public auctions held by county governments to recover unpaid property taxes. When a property owner fails to pay taxes, the county seizes the property and sells it through a tax deed sale, transferring ownership to the highest bidder. Buyers receive full ownership, subject to liens or legal claims.

 

[Gsusangrey]

Tax deed sales are when a property is sold at auction by the government to recover unpaid property taxes, transferring ownership to the buyer. Tax lien sales, conversely, sell a lien (right to collect delinquent taxes plus interest), with the possibility of foreclosure if unpaid.

• Benefits: Potentially acquire properties below market value.
• Risks: Hidden issues (damage, other liens), legal complexities, possible redemption periods.

 

[Mayank]

Tax deed sales are public auctions where properties are sold by the government because the owners failed to pay property taxes. The winning bidder receives a deed to the property, gaining full ownership, often at a significantly reduced price.

 

[peterkavinsky]

Tax deed sales are public auctions where properties with unpaid property taxes are sold by the local government. When a property owner fails to pay taxes, the county can seize the property and auction it off to recover the owed amount. The winning bidder typically receives a tax deed, granting ownership of the property—often without mortgages or liens, but rules vary by state.

Buyers should research local laws, inspect properties if possible, and understand redemption periods (if applicable). Tax deed sales can offer investment opportunities but carry risks, so due diligence is essential.