Texas, Understanding 2nd Sale
Good evening. Am I understanding in Texas that a second sale property (property held in trust by an ISD or other) that the redemption period has already passed? in other words, it is a resale property held in trust, the redemption period goes by, either 6 mo or 2 years; it is then sold again as a resale property, someone buys it. Has the redemption period already passed? Hope this makes sense to someone in Texas. Thanks. Lisa
Your post is confusing and I'm not really sure what you're talking about...but since this is the tax lien forum, I'm taking it that you're referring to the delinquent tax payer's redemption period...which is 2 years, and nothing can take that away from the tax payer.
Now if I buy the tax lien at the auction, I can maybe sell it to somebody else before the 2 years has passed, but that has NO effect on the taxpayer's right to redeem anytime in the next 24 months...he has that irrevocable right no matter what I do.
[addsig]
Hello. This probly can only be understood by someone who buys at tax sales in Texas, as it is confusing. I think I have answer (from someone else) but would still welcome those in Texas who know about this. Thanks!! Lisa
alexcturner--Lisa--(TX)---------------
I don't think that the second sale in TX is known as a resale, as I have never heard it called that, but I might be wrong about this.
The properties which are offered for sale for delinquent property taxes are sold to the highest bidder. If there are no investors or homebuyers to bid on the property, the properties are "struck off" to the taxing entity that initiated the tax auction. That is typicallya county or a school district, however it could be other taxing entities also.
Once the taxing entity owns a property, it can resell the property in a public auction. The properties sit on the entities books until the entity decides to have a public auction or until somebody makes an offer to buy the property. When somebody, who could be YOU, makes an offer to buy a property from the taxing entity, they set an auction date and advertise it in the local newspaper. Then anybody can bid at the auction. The high bidder there gets a deed to the property.
I have never bought this way in TX. However, I have done so in AZ and OK.
Good Investing*************Ron Starr**********
In my county (Denton County TX, north of Dallas) the most aggressive entity is the Lewisville school district. It is a fast growing district and needs all the tax revenue it can get (I live in the district and prefer to see my tax bill get lower). One time I attended a school board meeting and the board had to approve a sale of struck off property which was a private sale. Of course they were oh so glad to get the property back on the tax rolls.