Buying my first tax deed this month

8 Replies

I'm buying my first tax deed this month. The house look really nice on the outside but somebody still living there. After I purchase the tax deed, I need to apply for a quiet title and after I receive the quiet title, I need to start the ejectment process. Do anybody know how long it will take for the ejectment process?

Hi Lamario,

The answer completely depends on your state. I'd suggest finding a lawyer who specializes in real estate eviction and titles. Lawyers seem expensive until you consider the alternative. Your local real estate investment group will probably know someone. Good luck!

contact Denise Evans she have a very good book on tax deeds in Alabama and give classes. I think first you have to send a letter to the people living there and I think there a waiting period after that before you can do the ejectment. what part of Alabama you in?

@Lamario Hopson , in Alabama, as in virtually all other states, you must be in exclusive possession of property before you can quiet title. If you have a tax deed, you will need to give notice to vacate, and a little bit of time to comply--maybe 10 days. There is no set limit.  If they do not vacate, you can file an ejectment lawsuit.  If you are able to take a default judgment, it will cost around $800 total, and be final and non-appealable in about 2.5 months.  The taxpayer might be able to counterclaim for redemption. If that happens, they will also have to pay your legal fees for the ejectment lawsuit.  If you are successful in your ejectment, you will have to maintain exclusive possession (either yourself or through tenants) for three years before you will be able to quiet title.

@Tiffani Crenshaw, if you are able to file an in personam QT (meaning you can identify all claimants and serve the lawsuit papers on them) and take a default judgment, you are looking at $800 to $1,000.  If you must file an in rem QT because you have unknown heirs, or can't find former owner to serve papers on him, then taking it to a judgment will cost between $3,000 and $5,000 IF nobody puts up a hard fight. That is because with an in rem, the court will appoint a guardian ad litem (GAL) to represent the unknown people, and that is a separate lawyer who will charge $1,500 to $2,000 for their fee. Also there will have to be newspaper notices.  And, because the GAL will file an answer in the lawsuit with a general denial, there will have to be a court hearing, evidence taken, etc.  If somebody puts up a hard fight, then that $250 to $350 legal fees clock will keep ticking away.  

Great thanks so much! This was helpful. So I’m wondering if there was a Former original owner, and also another person who just owned the tax deed whom I got from them. I’m confused because my tax deed has that tax deed owners name on it, so is he considered the owner?  could I just ask the whomever is the owner to quitclaim me the deed? I think I can find him. 

Originally posted by @Denise Evans :

@Tiffani Crenshaw, if you are able to file an in personam QT (meaning you can identify all claimants and serve the lawsuit papers on them) and take a default judgment, you are looking at $800 to $1,000.  If you must file an in rem QT because you have unknown heirs, or can't find former owner to serve papers on him, then taking it to a judgment will cost between $3,000 and $5,000 IF nobody puts up a hard fight. That is because with an in rem, the court will appoint a guardian ad litem (GAL) to represent the unknown people, and that is a separate lawyer who will charge $1,500 to $2,000 for their fee. Also there will have to be newspaper notices.  And, because the GAL will file an answer in the lawsuit with a general denial, there will have to be a court hearing, evidence taken, etc.  If somebody puts up a hard fight, then that $250 to $350 legal fees clock will keep ticking away.  

@Tiffani Crenshaw, You can ask the former tax deed owner to quitclaim to you, but if you want to get title insurance or borrow money, or know for sure nobody can redeem it away from you or claim the tax sale was void for some reason, you will need a quiet title order.

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