The TaxLien.io blog
Plain-language guides to how tax lien and tax deed auctions actually work. No sales pitch, no rounded numbers — just the mechanics, sourced from state statute.
What Happens If You Don't Redeem a Tax Lien?
Most liens get redeemed. Here's what actually happens — for the owner and the certificate holder — when one doesn't.
5 min readHow to Find Tax Lien and Tax Deed Auctions Near You
There's no national database — auctions run county by county. Where to actually look, and how to spot a stale listing.
5 min readOver-the-Counter (OTC) Tax Liens Explained
Certificates that don't sell at auction can be bought directly from the county afterward — the yield math looks better, but the reason they didn't sell usually isn't random.
6 min readWhat Is a Tax Lien Certificate?
When a property owner doesn't pay their taxes, the county doesn't sell the property first — it sells the debt. Here's how that works and what you actually own when you buy one.
7 min readTax Lien vs. Tax Deed: What's the Difference?
Every state handles unpaid property taxes one of two ways — and the difference changes what you're bidding on, how you get paid, and how much risk you're taking.
6 min readHow a Tax Deed Auction Actually Works
A step-by-step walkthrough: registration, deposits, bidding increments, and what happens in the 24-72 hours after you win.
5 min readWhat Happens When a Tax Lien Is Redeemed
Redemption is how most tax lien investments actually end. Here's who can redeem, what you get paid, and why the headline rate rarely matches your real return.
6 min read5 Mistakes First-Time Tax Lien Investors Make
The same avoidable mistakes turn up in nearly every first loss — from unseen parcels to liens that outrank yours. None require expertise to avoid, just discipline before you bid.
7 min readHow to Research a Property Before a Tax Sale
A practical, mostly-free due diligence checklist: GIS parcel viewers, lien searches, satellite imagery, and what each check actually protects you from.
6 min readWhat Happens to Surplus Funds After a Tax Sale?
When a sale brings in more than the tax debt owed, where does the difference go? The law changed nationwide in 2023 — here's what Tyler v. Hennepin means for owners and investors.
6 min readHow Online Tax Sale Auctions Actually Work
Most counties don't run tax sales on a courthouse floor anymore. Here's how registration, bidding, and payment actually work on RealAuction, GovEase, Bid4Assets, and the rest.
6 min readYou Won a Tax Deed. Why Can't You Sell It Yet?
Winning the auction doesn't hand you clean, insurable title. What a quiet title action actually does, what it costs, and which states start you further along.
5 min readFlorida Tax Deed Surplus Funds: How to Claim Them
Florida gives you 120 days, not two years, to claim surplus funds after a tax deed sale — and the clock starts the moment the clerk mails the notice.
6 min readTexas Excess Proceeds: How to Claim Them After a Tax Sale
Texas holds excess proceeds in the district court, not with the county treasurer — the claim is a petition under Tax Code 34.04, not a form.
5 min readGeorgia Excess Funds After a Tax Sale: How the Claim Process Works
Georgia doesn't put a short deadline on claiming excess funds — but wait five years and they're gone to the state.
5 min readDoes Arizona Have Excess Proceeds on Tax Lien Foreclosures?
Arizona is a lien state, not a deed state — most foreclosed liens transfer the deed directly with no public sale and no surplus. Here's the exception.
5 min readColorado's New Excess Funds Rule for Tax Lien Foreclosures
Until mid-2024, Colorado treasurers could hand over a deed with no public sale and no possible surplus. HB24-1056 changed that.
6 min readMaryland Tax Sale Surplus: Two Different Pots of Money, Not One
The high-bid premium goes back to the investor. The real surplus goes to the former owner through a separate circuit court petition. Easy to mix up.
6 min readNew Jersey Tax Sale Excess Equity: The Premium Isn't It
New Jersey's premium bidding pays the municipality, not the owner. The owner's real recovery route is a separate 2024 law.
5 min readAlabama Excess Funds: The Surplus Can Start at the Lien Sale Itself
Alabama's surplus can arise right at the original tax sale, not just at the deed stage — and a 2024 law lets owners claim it without redeeming first.
6 min readMinnesota Tax Forfeiture Surplus: The State Behind Tyler v. Hennepin
Minnesota is where the Supreme Court case that changed surplus rules nationwide started. Here's its own process now, plus a separate settlement for pre-reform cases.
5 min readCalifornia Excess Proceeds: How to Claim Them After a Tax Deed Sale
California's excess proceeds law predates Tyler v. Hennepin by decades — a 1-year window, lienholders paid before the former owner.
5 min readMichigan Surplus Proceeds: The $8.41 Case That Beat Tyler by 3 Years
Michigan's own Supreme Court ruled on this in 2020, three years before Tyler. Here's the Form 5743 claim process, and the July 1 deadline.
6 min readPennsylvania Tax Sale Surplus: Why It Depends Which Sale You're In
Real surplus for the former owner mostly shows up at the Judicial Sale, not the Upset Sale — because only one of them wipes existing liens.
5 min readUtah Excess Funds: The 90-Day Clock and the 20% Fee Cap
Utah holds excess funds 90 days, then a court petition — and caps what a recovery agent can charge you to find it at 20%.
5 min readNevada Excess Proceeds: Miss the 1-Year Window and It's Gone for Good
Nevada gives you exactly 1 year — miss it, and the money goes to the county's general fund permanently, not an unclaimed-property office.
5 min readNorth Carolina Surplus Funds: No Fixed Deadline, Held by the Clerk
It's a special proceeding before the Clerk of Superior Court, not a treasurer's form — with no rigid statute of limitations while the clerk holds it.
4 min readOhio's Excess Foreclosure Proceeds: The Clerk-Held Surplus Under ORC 2329.44
Ohio doesn't route tax lien surplus through the treasurer — it sits with the Clerk of Courts, and you have to file a motion before it gets swept to the county.
4 min readIllinois Just Ended Its Tax Sale Surplus Problem — What HB 4537 Changes
Illinois was the last state to comply with Tyler v. Hennepin County. HB 4537, signed July 10, 2026, rewrites how surplus equity gets returned to owners.
4 min readNew York's Surplus Claims Are a County-by-County Maze — Here's the Statute Behind Them
RPTL § 1197 governs surplus from in rem tax foreclosures — but each of the state's 62 counties runs the actual claim process differently.
4 min readWashington's Tax Deed Surplus: Three Years to Claim, Then It's Gone for Good
Washington is a pure tax deed state with no redemption period after the sale — but RCW 84.64.080 gives the former owner three years to claim any excess bid.
4 min readMassachusetts' Land Court Forecloses the Lien — But Surplus Disputes Go to Superior Court
Massachusetts rewrote Chapter 60 after Tyler v. Hennepin County to return excess equity to former owners — but the foreclosure and the surplus claim happen in two different courts.
4 min readVirginia's Judicial Tax Sale Surplus: Two Years, Then It Goes to the Locality
Virginia sells the property itself through a court-supervised judicial sale — surplus goes to the former owner or heirs, but only if claimed within two years of court confirmation.
4 min readLouisiana's Excess Proceeds: An Affidavit, Not a Lawsuit — But Only for One Year
Louisiana runs tax sales through parishes, not counties, and the claim process for excess proceeds is administrative — an affidavit, not a court petition — with a one-year window from notice.
4 min readIndiana's Tax Sale Surplus Fund: Three Years, Then the County Keeps It
Indiana's county auditor holds tax sale surplus in a dedicated fund — claims go through both the auditor and the treasurer, and unclaimed money moves to the county general fund after three years.
4 min readMissouri's Excess Proceeds: A 90-Day Window, Then an Interpleader Fight
Missouri gives claimants just 90 days after the redemption period ends to file — and if lienholders and the former owner both claim the surplus, the county sends it to a judge to sort out.
4 min readTennessee Routes Excess Proceeds Through Chancery Court, Not the Tax Office
Tennessee's surplus from a tax sale sits with the Clerk and Master of Chancery Court — claiming it usually means a court filing, not an administrative form, and lienholders come first.
4 min readKansas Has No Deadline for Excess Proceeds — Which Is Its Own Kind of Problem
Kansas forecloses tax-delinquent property through the district court, and there's no short statutory clock on claiming the surplus — but that also means the money can sit for years before it disappears into unclaimed property.
4 min readOregon's New Surplus Law: The Money Sits in an Interest-Bearing Account While You Wait
HB 4056 rewrote Oregon's tax foreclosure surplus process — the county treasurer has to deposit proceeds in an interest-bearing account and determine the surplus within 60 days.
4 min readNew Mexico Gives You Two Years — Then Searches for You Before Giving Up
New Mexico's Taxation and Revenue Department mails former owners notice of excess proceeds and makes a reasonable search before the money is finally treated as abandoned property.
4 min readOklahoma's Excess Resale Funds: One Year, and Your Claim Right Can't Be Sold
Oklahoma gives the record owner just one year to withdraw excess resale proceeds — and the statute specifically blocks assigning that right to anyone else after the resale begins.
4 min readWest Virginia's Surplus Goes to the School Fund, Not the County, If You Miss It
West Virginia gives the former owner two years to file a circuit court claim for tax sale surplus — miss it, and the money goes to the state's general school fund, not back to the county.
4 min readConnecticut Gives You 90 Days From Deposit — Not From the Sale
Connecticut's tax lien foreclosures go through a court-appointed committee, and the 90-day clock to claim surplus starts when the money is deposited with the court, not when the property sells.
4 min readKentucky's Excess Proceeds: Two Years, Then the State Keeps It Permanently
Kentucky pays surplus to the property owner directly when they can be found — but an unclaimed balance eventually becomes the property of the state, not just held indefinitely.
4 min readAlaska Tax Foreclosure Excess Proceeds: A Clock That Doesn't Start at the Sale
Alaska forecloses straight to the municipality with no auction — the 6-month claim clock only starts if and when the borough later resells the property.
4 min readArkansas Tax Sale Excess Proceeds: A State-Run Claim Through the Commissioner of State Lands
Arkansas runs its tax sales at the state level, not the county — and unclaimed excess proceeds escheat to the county after 2 years, not the state.
4 min readDelaware Sheriff Sale Surplus: Why You Have to Sue the Court to Get Your Own Money
Delaware's excess proceeds sit with the Superior Court Prothonotary, and recovering them means filing an actual court petition — the court itself recommends hiring a lawyer.
5 min readDC Tax Sale Surplus: In Most Cases, It Doesn't Go Back to the Former Owner
Unlike almost every other state, DC's standard tax lien sale process refunds the surplus to the investor, not the homeowner — only a narrow owner-occupant carve-out sends any equity back.
3 min readHawaii Tax Sale Surplus: Four Counties, Four Offices, One Rule
Hawaii's real property tax is administered island by island — which county Director of Finance you contact depends entirely on where the property sits.
4 min readIdaho Tax Deed Excess Proceeds: A Hard 60-Day Shot Clock
Idaho gives parties in interest just 60 days after notice to claim excess proceeds — miss it and the money moves to the state treasurer's unclaimed property database.
4 min readMaine Tax Foreclosure Excess Proceeds: The Town Has to List Your House, Not Auction It
Maine forecloses automatically with no cash sale, then requires the municipality to sell the home through a licensed broker and mail the former owner what's left.
4 min readMississippi Tax Sale Excess Proceeds: The Clock Starts When Redemption Ends, Not at the Sale
Mississippi gives former owners 2 years after the redemption period expires to claim excess bid proceeds through the chancery clerk — and redeeming the property can cancel the claim entirely.
4 min readMontana Tax Deed Surplus: 30 Days to File a Notarized Claim, or It's Gone
Montana's surplus comes from the county's mandatory public auction after a tax deed issues — and the claim window is a strict 30 days, the tightest of any state we've covered.
4 min readNebraska Tax Lien Surplus: The 2024 Reform That Flips Who Has to Do the Work
Since LB727 took effect, Nebraska requires the tax deed investor — not the former owner — to track down and pay out any equity above the tax debt within 30 days.
4 min readNew Hampshire Tax Deed Excess Proceeds: The Deadline the State's Own Court Struck Down
New Hampshire's statute still reads as a 3-year cutoff, but the state Supreme Court ruled that deadline unconstitutional in 2020 — and the legislature never rewrote the text.
3 min readNorth Dakota Tax Foreclosure Surplus: 90 Days, Then It Moves to the State
North Dakota counties foreclose administratively and take title themselves — no lien-certificate auction to investors — then resell the land publicly each November.
3 min readRhode Island Tax Sale Surplus: 5 Years, But the Town Keeps It, Not the State
Rhode Island runs tax sales town by town, gives owners 5 years to claim surplus from the town treasurer — and unlike most states, unclaimed money stays with the municipality.
4 min readSouth Carolina Tax Sale Overage: The Most Self-Service Claim Process in the Country
South Carolina counties publish their own overage lists and notarized claim forms online — one of the easiest states for a former owner to recover surplus without a lawyer.
3 min readSouth Dakota Tax Deed Surplus: It Might Already Be in the State's General Unclaimed Property Database
South Dakota gives the county 180 days to find you directly before routing surplus into the same statewide unclaimed-property system that handles old bank accounts.
4 min readVermont Has No Claims Process for Tax Sale Surplus — Here's the Actual Gap
Vermont's own Supreme Court has confirmed the state's tax sale statutes make no provision for returning surplus to former owners, and a 2024 legislative working group still hasn't closed it.
4 min readWyoming Tax Lien Excess Proceeds: Most Sales Generate None at All
Wyoming's common treasurer's-deed path transfers title with no cash sale and no surplus — excess proceeds only exist when a lienholder chooses the less-common judicial foreclosure route.