Starting with Tax Deed Properties in Alabama

[Brook Carnes]

Hello there,

I'm looking for others who have had success buying tax deeds from the state.  How do you handle properties that you purchase the deed to, that may have residents in the home?  What is the best way to check for Liens against the house?  I am looking in Alabama and know that after 3 years the state issues Tax Deeds instead of certificates.  Any advice would be appreciated.  Thank you in advance!

[Denise Evans]

If the homes have residents, you will have to file an ejectment lawsuit against them. They will still have redemption rights, but they will have to pay you for the taxes and interest and your legal expenses for the ejectment. Most people who buy tax sale properties with owner occupants wait a few years after they acquire their interest, and THEN approach the owner about redemption.  An occupied property will most likely be redeemed within 90 days of first contact by the investor. 

Just because you have a tax deed does not mean there are no longer any redemption rights.

You can check for liens using the county's online real estate records portal, or by going to the Probate Judge's Office-Records Room--if there is not an online portal.

Read my blog article (link below) for an explanation of Alabama tax sale redemption rights.  If you want to connect and talk via email, I can provide more specialized info for you.

https://www.biggerpockets.com/forums/70/topics/181968-alabama-tax-sale-redemption-rights