Property Tax Sales - Your Washington, DC Area Realtor

Many homeowners who fall behind on paying their mortgage payments are not always current paying their property taxes. Once this happens just like regular taxes the county places a lien on the property then eventually auctions the property for a tax sale. Many people have asked me the question if I pay the taxes do I own that property. That's a good question & depending on each states the answer varies. I mean how great is that if you pay $20,000 in taxes and own a $500,000 house right too good to be true correct that's because most mortgage companies will foreclose on that property and pay the taxes before they just let their investment be sold for pennies. When the property is up for tax sale you're paying for the 1st right of that property, the tax sale is just the lien that's been placed on the property, if it has an mortgage, the taxes do not override the mortgage owed, if it's a foreclosure the bank still is owed. Paying a few 1,000s does not give you immediate rights to the house. This sale is held by the County, generally once each year. What is purchased by the winning bidder is not the deed to a property. The purchaser's money pays the delinquent taxes to the County on behalf of the delinquent property owner. In exchange, the purchaser is given first lien position on title, ahead of mortgages (sometimes), deeds of trust, and judgments, subordinate only to State tax liens. Again depending on which state and county you are in will depend on the guidelines and results. Always consult with a local tax attorney and with the local court where the property tax sales take place.

Damon J. Brockenberry (Damon The Agent)

Your Washington DC Area Realtor

Servicing Washington, DC, Maryland, & Virginia

cell: 240-694-6460 e-mail: sold@damontheagent.com