Tentative date for next auction - February 2014

 

 

IMPORTANT THIS IS A BUYER BEWARE SALE

 

Diligence in researching information regarding any properties offered at the public auction should be performed by any prospective buyer prior to the sale.

 

Frequently Asked Questions with regards to Public Auction sales

*** Answers provided are General Responses ***

 

Q.  Can I mail in or submit a sealed bid for a property in the auction?

            No.  The public auction requires the presence of you or your representative, to verbally bid on the properties.

Q.  Can I obtain a property available at the tax sale by paying the delinquent taxes on it prior to the tax sale date?

             No. Legal title to tax-defaulted property subject to the tax collector’s power to sell can be obtained only by being the successful bidder at the tax sale.

Q.  How do I find or see a property I would like to bid on at the tax sale?

             While we try to give all possible assistance in helping prospective bidders pinpoint a property location, vacant land has no address.  Its approximate geographic location can be determined through the use of county assessor plat maps and perhaps a map book.  Exact boundary lines of a property can be determined only by a survey of the property initiated at the purchaser’s expense.  Improved properties frequently (but not always) bear a situs (street) address.

Q.   How does a bidder pay for property offered at the tax sale?

            Payment must be made in cash or certified funds (wire transfer, cashier’s check, certified bank check, money order, or traveler’s check, with proper identification).  Personal checks are accepted; however deed will not be recorded until check has cleared.  Be aware that any returned checks will be prosecuted to the fullest extent of the law.

Q.  What are the conditions of payment for a property at the tax sale?

            All sales require full payment, which includes the transfer tax and recording fee.  However, at the tax collector’s discretion, purchases over $5,000.00 may be paid for on a credit payment plan, but they still require ten percent of the bid or $5,000.00, whichever is greater, deposited at the time of the sale.  The balance is payable in lawful money of the United States or negotiable paper, as specified by the tax collector, within a period specified by the tax collector, not to exceed 30 days from the date of the auction, as a condition precedent to the transfer of title to the purchaser.  If the balance due is not paid within the period specified, the deposit is forfeited, along with all rights with respect to the property (§3693.1).

Q.  Do liens or encumbrances on a tax-defaulted property transfer to the new owner after purchase of the property at a tax sale?

Revenue and Taxation Code Section 3712 states: “The deed conveys title to the purchaser free of all encumbrances of any kind existing before the sale, except:

a) Any lien for installments of taxes and special assessments, which installments will become payable upon the secured roll after the time of the sale.

b) The lien for taxes or assessments or other rights of any taxing agency, which does not consent, to the sale under this chapter.

c) Liens for special assessments levied upon the property conveyed which were, at the time of the sale under this chapter, not included in the amount necessary to redeem the tax-defaulted property and, where a taxing agency which collects its own taxes has consented to the sale under this chapter, not included in the amount required to redeem from sale to the taxing agency.

d) Easements constituting servitudes upon or burdens to the property; water rights, the record title to which is held separately from the title to the property; and restrictions of record.

e) Unaccepted, recorded, irrevocable offers of dedication of the property to the public or a public entity for a public purpose, and recorded options of any taxing agency to purchase the property or any interest therein for a public purpose.

f) Unpaid assessments under the Improvement Bond Act of 1915 (Division 10 (commencing with Section 8500) of the Streets and Highways Code) which are not satisfied as a result of the sale proceeds being applied pursuant to Chapter 1.3 (commencing with Section 4671) of Part 8.

g) Any federal Internal Revenue Service liens, which, pursuant to provisions of federal law, are not discharged by the sale, even though the tax collector has provided proper, notice to the Internal Revenue Service before that date.

h) Unpaid special taxes under the Mello-Roos Community Facilities Act of 1982 (Chapter 2.5 (commencing with Section 53311) of Part 1 of Division 2 of Title 5 of the Government Code) that are not satisfied as a result of the sale proceeds being applied pursuant to Chapter 1.3 (commencing with Section 4671) of Part 8.”

Q.  When does the right to redeem a tax-defaulted parcel subject to the power to sell cease?

           The right ceases at the close of business on the last business day prior to the sale.

Q.  How can I determine what use I can make of a tax sale property before I purchase it?

             Consult the zoning department of any city within which a property lies or the zoning section for the county department of planning and land use for a parcel in an unincorporated area (not within a city boundary). Examine the county recorder’s records for any recorded easements on a property. You can also order a title search report from a local title insurance company.

Q. How soon can I take possession of a property that I purchase at the tax sale?

You should consult an attorney. Generally, the successful bidder may take possession of a property after making payment in full and complying with any conditions set forth by the tax collector.

Q. How is the minimum price determined on a property offered at a tax sale?

             State law dictates that the minimum price for a tax-defaulted parcel offered at a public auction for the first time shall be no less than the total amount necessary to redeem the parcel, plus costs. The minimum bid may be set at a greater or lesser amount at the tax collector’s discretion.

Q. Is a tax sale publicly advertised?

             Yes. State law dictates that notice of a tax sale must be published three times in successive seven-day intervals before the tax sale date, in a general circulation newspaper published in the county.

Q. How will title in the deed to the purchaser be vested?

             Title is vested in the name of the actual purchaser. If title is to be vested differently, we require a notarized letter from the individual for whom you are acting as an agent, stating the manner in which title is to be vested