Essential terminology for tax sale investors. Clear definitions of tax deeds, tax liens, redemption periods, and other key concepts.
A legal document transferring property ownership from a government entity to a purchaser at a tax sale.
A legal claim against a property for unpaid taxes. Purchasing a tax lien gives you the right to collect the debt plus interest.
The document issued to tax lien purchasers, representing their claim against the property.
The amount paid at auction above the minimum bid (typically the total taxes owed).
Money remaining after all taxes and fees are paid from an auction sale, typically returned to the former owner.
The minimum acceptable bid at a tax sale, usually equal to back taxes plus fees and penalties.