Tax Certificate Preservation Improvements

[Brittany Wilkerson]

Hi, everyone!

Is there a cap on preservation improvements for a tax certificate purchased from the State of Alabama if the owner redeems? 

[Tai Bhattad]

The preservation improvement amounts are based on ‘increased value’ only; hence a cap in terms of money spent will not apply. 
10k spent to fix a roof and increased value = 5k. 
your payout is 5k. 
However for improvements to prevent weed liens by cutting the grass can be argued as ‘money Spent’ and no cap in this scenario... just rational sense. i,e $5k to cut the grass on a 40’x110’ lot (w/or without structure might be questioned. 😕

There are experts that can expound and even correct where I’m off.