What are next steps after win Tax Auction in Texas?

5 Replies

I stumbled into a Tax Auction while doing some business at the courthouse so decided to throw my hat in the ring.

I ended up with 9 properties for $3,500

I knew nothing about these properties beforehand but could tell what part of the city they were in by the legal description and I would also peek at other bidder's sheets and they'd have actual street addresses for some properties that I knew.

Anyhow, when I cashed out all I was told is that I would receive a Sheriff's Title to these properties within ten days.

So, now what do I do?

Some of these places are vacant land in "no good" areas so I got them for $200 or $400

for a .33 acre lot.

Others are off in the country with ragged mobile homes sitting on them (I google mapped after I got home)

One has a house on it that needs to be razed.

Anyhow, they don't have an instruction booklet for the "after" steps so I'm curious as what do I do?

These were all tax resales so that 6 month or 2 year waiting period is almost over for all of them if not, it is very near the end of the period.

Thanks

@Petit Morne

I will make an assumption that this is a real question. 

First thing I would do (though I would NOT buy any property I knew nothing about; I mean it could be an illegal dump site and now purchasing it makes you an immediate party of an EPA lawsuit) is determine what you bought:

1) What are the post judgment taxes due?

2) What liens are against the property that you are now responsible for?

Once you have those answers you can start to determine what you may be able to do with them.

So you went to an auction and bought all the properties that the knowledgeable investors didn't want without having any clue as to what you bought?   Sounds like a solid plan.  My guess is you probably paid money to take on someone's liability.  For example a vacant lot in the hood.....was there previously a house there?  If so did the city demolish it and place a lien for $8-15k (I see that all the time on the tax deed auctions here).   Even if you have no remaining liens on your lots in the hood you now have something that you have to mow and pick up the trash and illegal dumping (and there will be a lot of illegal dumping on vacant lots in the hood).  

I got nothing. The only thing that comes to me is what my grandmother use to say to me all the time,"You shouldna oughtna done that".

317-801-2266

@Roy Oliphant

I know it's not a dump site because I know the area generally. Nothing like that happens around there.

I guess now I have to wait until the city/county contacts me about back taxes and send the sheriff's deed so I can do a title/lien search.

@Patrick L.

After googlemapping these properties I think I did OK (barring any superceding liens or astronomical back taxes). I got three house lots in three different parts of the city for $650

Two of them have houses on them (that need to be razed) but the homes next door and all around are updated and quite decent.

If nothing else I can clean the lots and sell them to the neighbors for $1,000 a pop so they can make their yards bigger.

Originally posted by @Petit Morne :

...Two of them have houses on them (that need to be razed) but the homes next door and all around are updated and quite decent.

If nothing else I can clean the lots and sell them to the neighbors for $1,000 a pop so they can make their yards bigger.



Doesn't leave too much for profit if you spend $6000-$7000 to demolish the old house.

(If there are no hazardous materials to be removed first.)

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