Robin Realty: Wine Wednesday – Property Tax Sales in Louisiana
Buying Your Home BACK After a Tax Sale in Louisiana
Scenario this week – one of our sellers just found out that her home was acquired at a recent tax sale…..
Here’s the run down on how Louisiana Property Tax Sales Work:
As a homeowner if you let your property taxes become delinquent, your parish tax collector will sell your property at a tax sale to satisfy the unpaid debt (La. Rev. Stat. Ann. § § 47:2153, 47:2196). The law is designed to ensure that the parish receives its tax revenue, but it also provides safety procedures so property owners can’t easily lose their properties for an overdue tax bill.
If you are listening and thinking you are about to score big by purchasing properties for pennies on the dollar, I’m going to caution you that the process is long, and advise you to seek legal and financial advice before purchasing a property at a tax sale.
So HOW DOES IT WORK?
The quick version is that the parish tax collector is going to annually (generally in June) publish a list of delinquent properties for sale…. Then they are going to sell them at a public “auction” for a flat fee, ….. the original owner will then have THREE YEARS to redeem the property by paying the purchaser the amount paid, a penalty of 5%, 1% interest per month;…… if the original owner doesn’t redeem the property within the 3 yr span, the new purchaser can file a lawsuit to “quiet the title” to obtain full ownership….
Of course there are caveats to this with shorter redemption timeframes for blighted properties. You can read all about that here: https://www.bestlouisianahomes.com/blog/louisiana-property-tax-sales/
Back to our seller – all she needs to do is contact the tax assessor and repay what was owed plus costs and interest with a penalty to reclaim the property.
If you are considering purchasing tax sale properties, we have a detailed post on our blog to walk you through the process. You can check it out here: https://www.bestlouisianahomes.com/blog/louisiana-property-tax-sales/
As always, if you have any real estate questions you want answered, comment them below or give us a call at 504-509-4771.
For a free home value report: https://www.bestlouisianahomes.com/home-valuation/
To search Louisiana homes for sale: http://www.bestlouisianahomes.com/
Robin Realty
1200 West Causeway Approach Suite 27
Mandeville, LA 70471
985-778-2525
team@robinrealtygroup.com
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