Tax Foreclosure Properties
Properties with delinquent real estate taxes are subject to tax foreclosure. When a tax foreclosure action is adjudicated, the ownership of the property is transferred from the delinquent taxpayer to a new owner. The new owner is responsible for all future taxes.
Browse for Properties to Acquire
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Kania Law Firm
Kania's in depth knowledge of statutes and case law related to tax collections has allowed it to file thousands of tax collection actions and successfully conduct over a thousand tax sales.
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Ruff, Bond, Cobb, Wade & Bethune.
Ruff, Bond, Cobb, Wade & Bethune, L.L.P. is known for its integrity and commitment to outstanding legal service. The firm specializes in civil litigation and commercial real estate.
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Office of the County Attorney
The Office of the County Attorney provides support to the Office of the Tax Collector for delinquent tax foreclosures. In rem foreclosures are handled in house pursuant to NCGS §105-375.
View a map of upcoming foreclosure sales for an accurate look at where current properties are located.
Foreclosure Process
The foreclosure process utilizes the mortgage style foreclosure pursuant to NCGS §105-374 or the in rem style foreclosure pursuant to NCGS §105-375. Both styles of foreclosure are conducted by attorneys. It is within the discretion of the tax office as to which style of foreclosure will be used. To bid on these properties, contact the attorney that is assigned the specific properties for which you are interested.
Upset Bids
Successful bids at auction are open for a 10-day period to allow for the submission of upset bids. Upset bids are calculated and received by the Special Proceedings Division of the Clerk of Court for each property. In order to file an upset bid, the upset bidder must raise the bid by 5% of the last bid or $750.00 (whichever is greater) and must provide a deposit in the form of cash/certified funds to the Clerk of Court of 5% of the new bid or $750.00 (whichever is greater). Every time an upset bid is filed, a new 10-day period begins. After all upset bid periods are completed, the highest successful bidder is notified and will need to deliver the balance of the purchase price to complete the sale.
Bankruptcy
Bankruptcy proceedings filed by the property owner under federal law can also halt tax foreclosure actions. All the taxes, interest, fees, and costs to the date of the bankruptcy filing must be paid as a priority or secured claim in the bankruptcy proceeding.
FAQs
The attorney starts a title search to determine all property owners, mortgage holders, judgment and lien holders, and other parties having an interest in the property. If no resolution is reached and a mortgage style foreclosure is initiated, a tax foreclosure suit is filed with the Mecklenburg County Courts. The summons and complaint will be served on each defendant and each party has 30 days to respond from the date the papers were served. If an in-rem foreclosure is initiated, interested parties will be notified of the tax office’s intent to docket a judgment. This notification will be made by certified mail, or by posting the property, or publication, or any other method as provided by law. After notice is sent of the intent to docket a judgment, if the delinquent taxes are not resolved, the tax office will proceed with foreclosure as provided by NCGS §105-374 or 105-375.
All parties that have a legal interest in the property will be notified to the extent provided by law that their interest in the property will be terminated if a tax foreclosure sale of the property is completed. When a tax foreclosure sale is confirmed, the ownership of the property is transferred from the delinquent taxpayer to a new owner pursuant to judgment of the Court. The new owner is responsible for all future taxes.
Sales are scheduled on a case-by-case basis. Notices of sale are published in the Mecklenburg Times newspaper once a week for two weeks and posted at the Mecklenburg County Courthouse for at least 20 days.
Any successful bidder who does not remit the purchase price upon demand by the closing attorney may be subject to the immediate loss of all deposits, possible civil action, and contempt prosecution for failure to honor the bid.