Georgia Tax Lien Sales

Redeemable State

Interest Rate: 20%

Redemption Period: One Year Redemption

The Official Code of Georgia annotated attaches a general lien for taxes on all real property as of January 1st of each tax year. This lien is superior to all other liens and encumbrances. County property taxes are due on October 15th each year and delinquent thereafter, accruing interest at the rate of 1% per month or fraction thereof. On December 31st of each year the tax commissioner must issue an execution against all delinquent taxpayers. This execution directs the Sheriff or levying officer to enforce collection by tax sale.

SALE PROCEDURES:

Sheriffs, constables, or tax commissioners actually hold the sales. As determined by statute, tax sales are held the first Tuesday of any given month. Most tax sales take place April through December. Sales are usually held on the courthouse steps. Opening bid equals tax, interest, penalties, fees, and costs. Bidding is of an open and competitive format. Property is sold to the highest bidder. Certified funds are required. A tax deed is prepared within days of purchase.

INTEREST AND REDEMPTION:

There is a one-year redemption period enacted after sale. Should the property owner wish to redeem during this period, the amount required (and subsequently collected to the deed purchaser) equals the purchase price, plus subsequent taxes paid, plus 20% of the aggregate amount for each year or fraction of a year from the date of purchase to the date of redemption. The tax deed purchaser has NO physical rights to the property during this period. He cannot collect rents, he cannot make improvements. A Georgia tax deed has the same force and affect as a tax lien. After 12 months have expired from the date of the sale, the tax deed holder may seek to foreclose the property owner’s right of redemption. Statutory mandates govern the method and time frames of notification and filing of this process. In any event, a minimum time of one year and forty-five days will have elapsed between the purchase of the tax deed and the right to physical control of the property. Subsequent to foreclosing the right of redemption, it is recommended that the tax deed holder petition to quiet title in Land (a.k.a. Quiet Title Action). This judicial action will result in the tax deed purchaser holding a perfected, fee-simple title with unquestionable marketability. Tax deed purchasers should seek the advice of a real estate attorney knowledgeable in this area. Should the tax deed purchaser choose not to seek foreclosure of the right of redemption, the tax deed will ripen by prescription after a period of four years. Prescription is a process by which tax deeds become fee simple title over a set period of time. Once the right of redemption is foreclosed or the deed ripens by prescription, the tax deed holder is responsible for subsequent years’ taxes. Until that time the previous property owner is still on the hook. However, it is in the best interest of the tax deed holder to pay all subsequent years’ taxes as they become delinquent.

In Georgia, the tax collector or treasurer will sell hybrid tax deeds to the winning bidders at the delinquent property tax sale.

Tax Sale Type: Tax Deeds (Hybrid) (Sec. 48-4-1)

Contact: County Tax Commissioners (Sec. 48-4-3)

Interest Rate: None

Penalty Rate: 20% penalty of the amount for the first year or fraction of a year and 10% penalty for each year or fraction of a year thereafter (Sec. 48-4-4)

Bid Procedure: Premium Bid (Sec. 48-4-2)

Redemption Period: Twelve (12) months (Sec. 48-4-40) Law: Official Code of Georgia, Title 48, Chapter 3, “Tax Executions,” and Chapter 4, “Tax Sales.”

Additional Notes:

Important: According to (Sec. 48-4-45) once the 12-month redemption has expired, the investor must take immediate action to terminate the owner’s right to redeem.

Counties / Municipalities located in Georgia

The following is a list of counties located in the state of Georgia. Tax deeds (Hybrid) for properties located in the following counties are sold at Georgia county tax sales. Learn more about each county’s individual tax sale process by clicking on the name of the county for which you are interested from the list below: