Specialist 路 Birmingham, AL 路 Member since 2018 路 11 posts 路 2 votes
I purchased a tax certificate, the original owner attempted to redeem and sent me a form I had to sign I responded back certified mail with a date stating I agreed to redemption if done no later by a certain date. He failed to redeem in that time frame I then assigned the tax certificate over to someone else then a few weeks later That person assigned to someone else. He sent me a letter AGAIN stating that he wanted to redeem however I did not receive due to the fact I had nothing to do with the property any more. But I did respond to the one when the certificate was still recorded and assessed in my name.
The certificate was redeeemed by the original tax payer however he did not notify the CURRENT tax certificate holder and they allowed him to redeem due to the extra letter he sent me. Is this possible, how did they allow him to redeem when I鈥檓 not the tax certificate holder.
JD, CCIM , Real Estate Broker 路 Tuscaloosa, AL 路 Member since 2014 路 1k+ posts 路 1k+ votes
7y
The taxpayer is given a new affidavit to send to the owner of record for the tax certificate. If the taxpayers sends it by certified mail, and then returns to the redemptions office showing the letter was unclaimed, or it was claimed with no response within ten days after being claimed, they will let him redeem.
JD, CCIM , Real Estate Broker 路 Tuscaloosa, AL 路 Member since 2014 路 1k+ posts 路 1k+ votes
7y
The taxpayer is given a new affidavit to send to the owner of record for the tax certificate. If the taxpayers sends it by certified mail, and then returns to the redemptions office showing the letter was unclaimed, or it was claimed with no response within ten days after being claimed, they will let him redeem.
Rental Property Investor 路 Sugar Land, TX 路 Member since 2013 路 113 posts 路 27 votes
7y
Anyone have any information as to how to assign Tax Lien Certificates in Jefferson County Alabama? How to? As mentioned above, I have just purchased two vacant lots...one in Ensley on Avenue I and the other in Hueytown.
JD, CCIM , Real Estate Broker 路 Tuscaloosa, AL 路 Member since 2014 路 1k+ posts 路 1k+ votes
7y
Depending on when it was sold, you can either endorse it on the back or execute an assignment via any form you find on the Internet. You MUST notify the redemption clerk of the assignment and the new owner's contact information, however, to avoid future problems.
JD, CCIM , Real Estate Broker 路 Tuscaloosa, AL 路 Member since 2014 路 1k+ posts 路 1k+ votes
7y
@Darryl Dixon, can you email me a copy of the current Jefferson county redemption form that is sent to the investor? I'm updating my tax sale investing book for the 2019 edition, and I want to make sure the form has not change. It looks like you might have the most recent version, if there have been changes. Thanks.
Do you mind sending me a copy of that redemption letter as well.
i recieved a letter from owner trying to redeem. My first tax sale. Was advised not to sign because it wording says i was paid allowable expenses and thats not the case.
@Denise Evans can you tell me what a VERIFICATION OF ALLOWABLE EXPENSES BY TAX SALE PURCHASER LETTER MEANS
JD, CCIM , Real Estate Broker 路 Tuscaloosa, AL 路 Member since 2014 路 1k+ posts 路 1k+ votes
7y
@Darryl Dixon, it means you are saying you are not owed any money for improvements. You have ten calendar days from receipt to respond in writing and tell them how much you want for the improvements and for casualty insurance premiums, plus the amount of interest on those items. THe county will calculate the taxes and interest on taxes themselves.
Immediately call the county redemptions clerk and tell them you received the notice, and will not sign it because you are owed money. Ask them to make a note on the property card, and not let the taxpayer redeem until you tell them it is okay. That pre-empts the taxpayer coming to them and lying and saying they don't owe anything, but you ignored the letter or refused to sign it. If that happens, the county will let them redeem, and then you'll have to file a lawsuit to have it revoked.
Be sure to read my article at the link below, and follow all the time limits and wording exactly. If you don't follow the rules right, you could forfeit the right to be paid anything at all.
I took it to the Redemption office and they told me not to sign.
I sent owner a letter stating she needs to explain purpose of letter. Because wording says I was paid. And that's not true. It's also not notarized by any County official or Notary.
Okay here's the deal I sent out letter to address I received letter from which is property address. So I go to check on property currently vacant. And Post Lady has my letter asking if (former owner) was there.
What is trying to pull here?
Why would she use property address if her mail isn't being forwarded.
Confused 馃し馃従鈾傦笍
Not mail has been delivered there since I have taken possession
Rental Property Investor 路 Sugar Land, TX 路 Member since 2013 路 113 posts 路 27 votes
7y
Newbie Scenario Question: Person A purchases a Tax Lien Certificate during the first year it is purchased by the State for $500. Person A assigns TLC to Person B for $1000 three months later. Three months after that, Original Owner wants to redeem the property.
Questions:
1. When OO redeems, do they just redeem for the amount of the TLC plus 8% annual penalty? ($500 + 8% annual penalty)
2. When OO redeems, is Person A responsible for giving Person B the difference of their investment back?
Thank you for answering this nudging question for me. It will help me make some decisions going forward.
JD, CCIM , Real Estate Broker 路 Tuscaloosa, AL 路 Member since 2014 路 1k+ posts 路 1k+ votes
7y
@Robert Sims, the redeeming taxpayer pays the principal amount of taxes due at time of auction, plus all taxes since that date, plus the legal rate of interest on each principal amount.
The fact that an intervening purchaser paid a price higher than redemption value to buy the certificate is irrelevant to the redemption amount.
The intervening purchase just made a bad investment decision. He/she cannot recoup the difference from the seller unless the purchase contract includes an indemnity or similar clause. Sometimes intervening buyers will claim they have been defrauded, and file a lawsuit against the seller. For that reason, I recommend that the sales contract or documents always disclose the property might be subject to redemption rights that might be more or less than the sales price.