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Updated almost 9 years ago on . Most recent reply

User Stats

168
Posts
97
Votes
Ed Tamayo
  • Investor
  • Sugar Hill, GA
97
Votes |
168
Posts

Tax Sale Property - Taking Possession of abandoned house

Ed Tamayo
  • Investor
  • Sugar Hill, GA
Posted

Hello,

I bought a house in a tax sale in Georgia which is a tax deed state with a redemption period of a year. That deadline has just passed and the house is abandoned.

I wonder if I can take possession of the house now that the year has passed. 

Can I just get in?   Shall I notify the Sheriff? Some other thing to do?

Any comment/pointer would be appreciated.

Some more info from the  county website 

“The owner, creditor, or any other person with in the property may redeem the property at anytime during the 12 months following the tax sale. The purchaser of the tax deed cannot take actual possession of the property during this time”

I called the county and they would not answer my question saying that they have nothing else to do with the property and to consult and attorney.  

Most Popular Reply

User Stats

96
Posts
72
Votes
Matt Sicignano
  • Investor
  • Smyrna, GA
72
Votes |
96
Posts
Matt Sicignano
  • Investor
  • Smyrna, GA
Replied

Yes, you're right;  the terminology, for clarity  should be "tax lien sale" since it is only the lien that is sold, then, for good measure, they saddle it with redemption rights, which limits what the owner of the lien can do for a period of time. (EDIT: yes the original poster was incorrect in calling it a "tax sale; it turns into a "tax deed" after obtaining possession of the property by one of the two ways mentioned)  It never really was intended for buyers to obtain the property, and most do not. It is an investment, with a high payoff if redeemed.  (* see below, for an interesting sidebar)   And like all investments, you can lose your money. (you can't insure a property you don't own; if it burns down without insurance, you're out your original investment)  Most properties that are abandoned are abandoned for a reason. If a property has no mortgage, no junior lien holders, no insurance and no taxes paid; it's likely there is a good reason (think Detroit).  You have to be careful when obtaining title-suppose the property is a meth lab, or partially burned-now it's your responsibility to clean it up or demolish. 

* Georgia was immersed in a scandal a few years ago. The tax commissioner was farming out tax liens to a private company.  95% of the tax liens sold were to one company. They had no interest in obtaining properties. They would send collection letters for amounts a little as $200 with interest and fees almost doubling the amounts owed, and they were doing it with little or no notice. Most of these amount owed were for minor amounts of money, but they were sent out by the hundreds. For his efforts in "collecting back taxes" the Commissioner made a "commission" on each one. And yes, that was legal! 

Including fees he collects, Fulton County Tax Commissioner Arthur Ferdinand was paid $383,000 last year. When he began the job in 1997, he made $77,400.

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