There are instances when homeowners are unable to pay their mandatory property taxes. During this time, they become delinquent taxpayers and the collection of property taxes lies in the hands of the government authorities’ in-charge. This type of collection can only be achieved by conducting tax lien sales and auctions.
Tax lien auctions are ordered by the court for non-payment of property taxes. You can purchase tax liens at auctions which are held by the local taxing authority. The auctions are held usually once a year or depending upon the county or state laws. Furthermore, there are several kinds of auction bidding and often times not all tax lien certificates are sold at the auction. This happens because there are no acceptable bids or lack of bidding from participants. For this kind of scenario the certificate can be purchased over the counter at a certain date.
Sometimes you’re not required to attend the auction personally because nowadays there are sales held online. Tax liens can also be bought via mail. However, it’s highly advisable to purchase them in person in order to eliminate costly mistakes. Moreover, before you jump into the band wagon, do all the necessary homework first on buying tax lien certificate to do the whole process properly.
