Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
Had a member of my facebook group (Cody Cox) and an attorney from Wood and Lamping send me this. For those that did not know, in Michigan if there was a tax sale the surplus was kept by the County. So for example, if $5,000 was owed on taxes, you had first lien with a balance of $50k, and the property sold at tax sale for $30,000 - in most other states you would get the $25k (assuming no other superior liens) on your first position note. In Michigan, this was not the case, as the county would keep all that $.
Well the state got sued and finally lost. This is critical for note investors as there are occasions where you are better off letting a property go to tax sale and collect the overage. Well now thankfully in Michigan you can.
Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes
6y
@Chris Seveney thanks for the link @Chris Seveney. It is hard to believe the county actually thinks they are justified in this. i forwarded this to my attorney.