Purchasing a Tax Lien in Georgia - Brian Douglas Law (2024)

FAQs

How to buy tax lien property in Georgia? ›

The County files a lien, and then auctions off a deed. You win at the auction, and purchase it (a portion of your purchase price goes to pay the taxes that were in arrears).

Lien Priority

Because a property tax lien has priority, the sale wipes out any mortgages if your home is sold through a tax sale process. So, the loan servicer will usually advance money to pay delinquent property taxes to prevent this from happening.

FACT: A tax bill does not indicate ownership of property. MYTH: You aren't responsible for the back taxes on the property if the deed holder passed away. Those are their debts.

The lien will remain in effect and will block the transfer of title of any other properties owned or later acquired by the taxpayer.

To attach a lien to real estate, the creditor records the judgment with the superior court clerk in the Georgia county where the debtor has real estate now or may have real estate in the future.

This means the former owner will have to pay you, the Buyer, what you paid at the tax sale (in full) plus 20% interest and any penalties. It doesn't matter when the payment occurs after the sale, even if it is the same day, the interest and penalties attach.

The redemption must take place within 12 months of the date of the sale or at any time after the sale until the right to redeem is foreclosed.

Some states will issue a tax lien certificate when the property owner fails to pay their taxes. The lien attaches to the property and takes priority over other property-related debts. Other states, including Georgia, will issue a tax deed when the property owners don't pay their taxes.

How Long Can Property Taxes Go Unpaid in Georgia? Georgia property owners usually have 60 days after the due date on their tax bills to pay taxes. If they fail to pay within the required time frame, they could receive a property tax lien, which would prevent them from refinancing or reselling the taxed property.

All burial grounds in Georgia are exempt from ad valorem taxes. ( O.C.G.A. Sec. 48-5-41(a)(2) ) For additional information, see discussion of "Nonprofit, Religious, Charitable, Scientific, and Educational Organizations " at ¶20-285.

Who is exempt from paying property taxes in Georgia? ›

To be granted a homestead exemption: A person must actually occupy the home, and the home is considered their legal residence for all purposes. Persons that are away from their home because of health reasons will not be denied homestead exemption.

If you die with: A spouse but no children, your spouse will inherit your entire estate. Children but no spouse, your children will split everything equally.

Recorded liens are public information. Mortgage companies, financial institutions and taxpayers may obtain payoff information from the Department upon request by going to Georgia Tax Center and searching for a liens' payoff information using the SOLVED (Search for a Lien) database.

Georgia lien law requires a lien action to be filed within 365 days from the date the lien is filed for record, and not a day later.

The Writ of Fieri Facias (FIFA) is a judgment or lien against a defendant's property (i.e. all chattels and goods, typically real estate or automobiles) in Carroll County, Georgia.

Property owners have 60 days from the date of billing to pay their property taxes.

The Georgia Department of Revenue's website is the primary repository for state tax liens. Individuals can visit the agency's Georgia Tax Center to look up tax liens with SOLVED, the Search for a Lien tool. The tool disseminates information on tax liens filed by the state for unpaid taxes.

This foreclosure process is commonly known as "barment" and is the first step in gaining full ownership of the property. After one year from the sale, the holder of the tax deed can send out notices of barment which can occur after forty-five days from the one year anniversary of the sale.