Hi BP, 

Advice Needed 

I Bid and won on a property from New York State Online Tax Auction.  Downpayment was accepted by county.  5 Months later I was notified of litigation on the property between prior owner & county, of which delayed the deed transfer.  Note: entire balance was not collected by county only downpayment.  

Unfortunately, County treasurer now updated me on the property which resulted in a court order to return the auctioned property back to original owner.

What is you opinion about this? 

Real Estate Attorney advice welcomed or Experienced individuals alike. 

Thank you, 

Hi BP, Edward I'm very familiar with tax sales. With Tax sale litigation, sometimes it comes down to several factors: whats the reason why taxes were not paid, if the sale was in error, and who is the person who did not pay their taxes. In this case, it appears there have been some previous issues going on. If the owner proved they had sufficient reason for not paying the taxes, then the county would be forgiving regarding their delinquent payment. For example, if the owner is elderly and show proof that she gave someone money to pay taxes, and the person didn't, then the courts will be lenient. The fact that it was already in court regarding tax issues show it may be an issue with this particular parcel. In Cook County, Illinois, the courts do allow a protest after the tax buyer has started the process of acquiring the property. The owner pays a deposit and submits reasons for not paying or if sale is in error.. It goes before the court and the outcome is decided. I hope this helps. L