In a tax lien sale, a county sells the debt on a parcel with delinquent property taxes to an investor, who then earns interest when the owner pays it back. The owner has a redemption period — commonly one to three years — to settle up before the lienholder can begin foreclosing. Rates, timing, and rules are set state by state, so always confirm with the county treasurer where the land sits.
What you are actually buying
You are not buying the land. You are buying the tax debt, plus the right to collect it with interest. Most liens get redeemed, which means the typical outcome is a return on your money rather than owning a parcel.
How the mechanism works
The county publishes a list of delinquent parcels before the sale.
Investors buy liens, often bidding the interest rate down from a statutory maximum.
The owner can redeem the lien during the redemption period, paying the debt plus interest.
If it is never redeemed, the lienholder may begin the process to obtain the deed.
Lien states vs. deed states
Some states sell liens, some sell the deed outright, and some do both. This single fact changes everything about how the process works, so establish which applies before you research further.
How to find your county's rules and dates
Search for the county treasurer's or tax collector's office website.
Look for "tax lien sale," "delinquent tax list," or "certificate of purchase."
Note the sale date, registration deadline, statutory interest cap, and redemption period.
Call the office to confirm — published pages are often a year out of date.
If you are the owner who is behind
A tax lien is a warning, not the end. You can redeem it by paying the back taxes, or sell the parcel to clear the debt at closing. If the taxes have grown past what the land is worth to you, we buy parcels with back taxes owed and settle them at closing — see our guide on selling vacant land.
Frequently asked questions
What is a property tax lien sale?
A public sale where a county sells the delinquent tax debt on a parcel to an investor, who earns interest when the owner repays it. The investor buys the debt, not the land.
What interest do tax liens pay?
It varies by state, set by statute, and investors often bid the rate down at the sale. Confirm the statutory maximum and the actual winning rates with the county treasurer.
How long is the redemption period?
Commonly one to three years depending on the state. If the owner does not redeem within that window, the lienholder can begin the process to foreclose and obtain the deed.
I am behind on my land taxes — what are my options?
Redeem the lien by paying the back taxes, or sell the parcel to clear the debt at closing.
Behind on taxes? We can help.
Call or text 877-876-1746 for a free offer.