Are there good deals at the San Antonio Bexar County Tax Sales?

Question

I am very interested to learn from other investors' experience at the San Antonio, TX Bexar Tax Sales on the 1st Tuesday of each month.  Are there still really good deals out there?  Your replies will be greatly appreciated.  Thank you!

Seth Teel · Answer

There are plenty of deals to be had at the tax sale, however you need to know there is a "right of redemption" period for all tax sales.  If the home was the owner's homestead, their right of redemption is 2 years. If it was not their homestead, the right of redemption period is 6 months.  During this period the previous owner has the right to pay the back taxes and purchase the home back from the new owner for an amount greater than the tax sale purchase price.  I believe it's 125% of the new owner's purchase price, but I am not positive.

This redemption period means you need to do your research on each home you bid on, and be prepared to hold the property for at least 6 months prior to making any repairs or upgrades.  Alternatively, you can seek out properties that may be on their way to tax foreclosure and try to buy them directly from the owner prior to the tax sale.  If you can get the property under contract prior to the tax sale, your title company can contact Bexar County usually get the tax sale stayed until the property is closed.

Robert Stewart · Answer

DO NOT BUY TAX FORECLOSURES FROM BEXAR COUNTY!

I bought three, and have three nightmares.  First they sold a landlocked property using the wrong address, judge ordered them to return my money, and they still haven't after 2 years.  Second they intentionally withheld past due taxes in violation of Tax Code 33.42, and are trying to enforce the taxes when the law says they can't.  I'm still waiting to go to court.  The last one is an actual backyard.  Bexar County assigned a street name to an alley, and a property address to a backyard!

Do yourself a favor and buy the Mortgage foreclosures sold next to the tax sales.  The tax sales are fraudulent!

Lynn Walden · Answer

Can Someone inform me of a good place to find pre-forclosure tax sales?

G.D. Haizlip · Answer

Greetings,

Hello Clifford,

Texas is a great place to Invest in Tax Sales.  Let me give you a short analogy.  Tax Sales are like Sports (e.g., Basketball, Football, Soccer, Tennis, etc.).  Their are basic rules that must be understood.  Respectfully, go to a few games (Tax Sales) and Just Watch, and Notice how they play the game -- and notice is who is bidding and how they are bidding.  Have the patience to just get a good idea of who the players are so you won't get into a bidding war with any Investor that may cause you to overbid on a property.   This is also a good way to meet potiential Buyers/Investors that you can talk to later or just network with.  You may or may not want to partner with anyone yet, but that is your choic of course.  Ask for business cards and/or give-out yours or at least exchange phone numbers and/or email addresses.  Be mindful/watchful as some may want to resell their properties after they have acquired it at Tax Sale.  This may be a good approach but be sure to carefully evaluate and inspect the property(ies) location, value, code-issues, if any, etc..

As for the rules, most Counties provide general guidelines, but not legal advice.  Nevertheless, the process in not that complicated at all---truly.  Like with sports, you only need to know the rules of the game.  Texas has 254 Counties, Over 3100 Cities, Towns, etc., and about 1031 School Districts (which may impose taxes on properties or force Tax Sales).  You can either eventually own the property in a short period.

Seth Teel · Answer

I have been to the auction several times, but never bought at the tax sale.  My pockets aren't deep enough to sit on a property for 6 months.  I prefer to try and buy the properties directly from the owners pre-foreclosure. Usually when it's cancelled the back taxes have been paid or the property has been sold (and back taxes been paid).

When you go to the auction next week, make sure to be there on time.  The tax sale (Sheriffs Sale) happens before the bank foreclosure auctions.  The entire process is archaic if you ask me.  There is a much more civilized and efficient way to auction these properties.

Clifford Lopez · Answer

Seth,

Thanks for the above information.  Have you done it - bid on tax sales?  I plan to attend March 3 just to observe.  As for pre-foreclosure, is that why it says cancelled on the listing because someone got it before it will auction?  Below is a property that valued at $109, but estimated minimum bid is $18K; however, it's already been cancelled.  Thanks

Precinct Number Case StyleBEXAR COUNTY, ET AL VS B.V. CONSTRUCTION & DEVELOPMENT, INC., ET AL Legal Description                      NEW CITY BLOCK 16385 BLOCK 9 LOT 13 DOMINION GVH SUBDIVISION UNIT 1 IN THE CITY OF SAN ANTONIO, BEXAR COUNTY, TEXAS, AS SHOWN IN VOLUME 09553, PAGE 0082 OF THE DEED AND PLAT RECORDS OF BEXAR COUNTY, TEXAS Physical Address38 VINTAGE TRACE   Sale Notes

Precinct Number

Case StyleBEXAR COUNTY, ET AL VS B.V. CONSTRUCTION & DEVELOPMENT, INC., ET AL

Legal Description                      NEW CITY BLOCK 16385 BLOCK 9 LOT 13 DOMINION GVH SUBDIVISION UNIT 1 IN THE CITY OF SAN ANTONIO, BEXAR COUNTY, TEXAS, AS SHOWN IN VOLUME 09553, PAGE 0082 OF THE DEED AND PLAT RECORDS OF BEXAR COUNTY, TEXAS

Physical Address38 VINTAGE TRACE

Sale Notes

Are there good deals at the San Antonio Bexar County Tax Sales?

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