Can You Really Buy A Home At A Tax Foreclosure Auction?

Anyone can buy a home for a fraction of itsheaded for a tax foreclosure auction will redeem the
appraised value at a tax foreclosure auction, but fewproperty prior to the auction. So the property that you
people know how. There are foreclosed properties inreally would like to purchase may not even be
virtually every city that will be going to auction, andauctioned at the sale.
anyone is eligible to bid on them.Keep in mind, the property owner may have additional
All properties are subject to taxes, but not everyonerights to redeem the property after auction. If this
who owns the property is able to pay the taxes onhappens, the owner usually must pay the fees and
them. When the property owner gets behind on theirinterest to the person who bought the property in the
taxes, the government agency (either the state orauction. Depending on the state, these interest charges
county) will conduct a tax foreclosure auction and sellcan be quite substantial. Several people actually make
the property to the highest bidder.a good living buying and redeeming properties at the
The laws regarding the sale of the property dependtax foreclosure auction.
on which state the property is located in, so beforeUsually the state sets the minimum price that the
you head down to the auction block, you need to beproperty must sell for, if that price is not reached, the
familiar with the rules and regulations for your state.state will acquire the property. Usually, this property will
Some states require the full purchase price to be paidgo back on the auction block with a reduced price.
on the date of the auction; other states will allow youThis is not a get rich quick scheme (most of them
pay off the purchase within a certain time frame.never work), but it is a legitimate investment
Some states require a cashiers check on the date ofopportunity to buy property at below appraised value.
the auction; others will allow the fees to be depositedYou may not always get the home you were looking
the next day. Again, check with your state toat, but sometimes you really can get lucky and get a
determine what the rules and regulations are.home at substantial savings.
Most property owners that have a home that is