Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Tax Liens & Mortgage Notes
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 8 years ago on . Most recent reply

User Stats

39
Posts
21
Votes
Ashley G.
  • Specialist
  • Birmingham, AL
21
Votes |
39
Posts

Verifying tax sale validity

Ashley G.
  • Specialist
  • Birmingham, AL
Posted

How do you verify the validity of a tax sale? In the case that you do purchase a tax lien or deed are there any measures that can be taken to protect your investment (preservation improvements ect). Also is there anything that can be done beforehand to protect your interest or at least alert you to the possibility of a void tax sale?

Most Popular Reply

User Stats

1,566
Posts
1,484
Votes
Denise Evans#1 Tax Liens & Mortgage Notes Contributor
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
1,484
Votes |
1,566
Posts
Denise Evans#1 Tax Liens & Mortgage Notes Contributor
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
Replied

@Ashley G., I am the Alabama expert on tax sales.  Yes, it is void if the name called off at the auction is not the current legal owner of the property. When someone files for bankruptcy, they no longer own their assets, the bankruptcy trustee owns them.  So, the wrong name is called off at the auction and the tax sale is void.  You must check for dead people ("heirs of Joe Jones" is also the wrong name. There is no person called "heirs of Joe Jones" or "Joe Jones Estate"), voluntary transfers where the new owner forgot to assess in their own name, involuntary transfers such as foreclosure, and bankruptcy.  You are not entitled to be paid for preservation improvements if the tax sale is void. The only way to "cure" a void tax sale is to adversely possess the property for three years after you obtain your tax deed.

Loading replies...