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Tax, SDIRAs & Cost Segregation

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Peymon Hashimoto
  • Investor
  • Pocatello, ID
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20
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Should I take legal action? County Tax deed sale gone wrong!!!

Peymon Hashimoto
  • Investor
  • Pocatello, ID
Posted Apr 10 2021, 11:32

I contacted Bonneville County in Idaho to take a look at properties that the county took possession of due to unpaid taxes and tried to purchase those properties. They gave me a list of properties that no one made an offer on at the last tax deed sale. Made an offer on a piece of land then the county contacted people that owned land around it and accepted an offer from another party without giving me a chance to counter. 

I feel like I should take legal action as I was not given an opportunity to counter. Also them contacting the surrounding property owners really seems like they did not want me to purchase this property. 

Thoughts? (Email chain attached)

Peymon Hashimoto :Mon, Feb 8, 2021 at 12:58 PM
Hello Mark,
Attached is my form that Hilda provided me. I hope to hear from you soon.

Peymon Hashimoto :Mon, Feb 22, 2021 at 8:23 AM
Hello Mark,
I would like to make a offer of $500.00 for the parcel # RPA0580001004C

Bonneville County Treasurer/Tax Collector: Mon, Feb 22, 2021 at 9:40 AM
I will pass this on to the Board of County Commissioners. Note that this parcel has no access.

Peymon Hashimoto :Tue, Mar 9, 2021 at 2:42 PM
When should I expect a response?

Bonneville County Treasurer/Tax Collector:
Tue, Mar 9, 2021 at 3:03 PM
Working on it. Should have something for you next week.

Peymon Hashimoto :Mon, Mar 22, 2021 at 11:42 AM
Just following up on this

Bonneville County Treasurer/Tax Collector:
Mon, Mar 22, 2021 at 2:04 PM
I’ll get back with the commissioners.

Peymon Hashimoto :Tue, Apr 6, 2021 at 10:37 AM
Any updates here?

Bonneville County Treasurer/Tax Collector:Tue, Apr 6, 2021 at 11:32 AM
Thank you for your patience. We have accepted a higher offer from the property owner whose backyard the subject property is a part of.

Peymon Hashimoto :Tue, Apr 6, 2021 at 12:54 PM
Did you contact the property owner or did the property owner contact you?

Tue, Apr 6, 2021 at 1:11 PM
Our standard practice in all of these types of circumstances is to notify owners of property that is contiguous to the tax deeded parcel of the situation. Sometimes they respond, sometimes they do not. In this instance he did come into the office.

Peymon Hashimoto :Tue, Apr 6, 2021 at 1:39 PM
Could you explain "these types of circumstances"?
Why did I not have an opportunity to place a counter bid? I started the bid, they countered, why was I not given the opportunity to counter back?

Bonneville County Treasurer/Tax Collector:Tue, Apr 6, 2021 at 2:07 PM
“These circumstances” apply to those times when the county takes tax deed to a property that has no, or little value except as it would be associated with a parcel contiguous to it. Initially the county must offer it in a public setting, which this property was, being included in an auction; however we received no bids. After a parcel has been offered publicly but was not sold the county commissioners are at liberty to sell the property privately as they deem appropriate, precluding a bidding process. Just so you know, the buyers were not made aware of your bid amount. I hope that this answers your question.

Peymon Hashimoto :Tue, Apr 6, 2021 at 4:23 PM
This does answer my question but I am shocked. Why would anyone want to purchase a deed from the country when, as you put it, "the county commissioners are at liberty to sell the property privately as they deem appropriate, precluding a bidding process". I was not given a fair chance to bid on this property. I placed a bid, then you contacted another party and sold it to them without giving me a chance to counter their bid.

I will certainly not be placing any more bids with your county and I am guessing when word of this "policy" gets out no other investor will want to place bids.

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