Oklahoma Tax Lien Sales

Deed State

Oklahoma tax sales are held beginning on the first Monday of October by each county as mandated by statute. Liens are offered for the amount of taxes, interest, and costs then due. If more than one bidder is present, then the county treasurer shall decide the issue by fair and impartial drawing. Successful bidders are awarded certificates of purchase. Liens on properties for which there are no bidders are bid off to the county. County certificates are available for assignment purchase any time after the annual lien sale, and before the expiration of the redemption period. Certificates sold to individuals are also assignable to other independent buyers, with the caveat that the transfer be on record with the county treasurer. The purchaser of a lien certificate may add subsequent orprevious year’s delinquent taxes to his purchase and shall hold a lien for the entire amount with interest accruing against the total.

Interest and Redemption:

Interest accrues on unpaid certificates held by individual investors at the statutory rate of 8% per annum from the date of purchase through the date of redemption. County held certificates accrue at a rate of 12% per annum. If no redemption is tendered within 2 years from the date of auction, the certificate purchaser may apply to the treasurer for tax deed. This application should include the certificate and the appropriate administrative fee. Oklahoma State Statute 68 §3118 states “…The deed shall vest in the grantee (certificate holder) an absolute estate in fee simple, subject to all claims the state may have for taxes, liens, or other encumbrances and shall extinguish the rights of any mortgagee of record…”

Proper notification of interests of record is also required prior to issuance of a tax deed. This notification process is set forth in statute and must be followed to the letter. The notification garners a 60-day response period. However, it is permissible to begin the notification process 60 days prior to the expiration of the initial 2-year redemption period, but no sooner. A properly executed application warrants a certificate tax deed which conveys a fee simple title. Oklahoma certificates have a statute of limitations. Should the holder of a certificate not apply for a tax deed after seven years have elapsed since the date of purchase, that certificate will be considered null and void, unless that certificate holder has kept the taxes for subsequent years paid and properly endorsed, and that seven years has not elapsed since the date of last endorsement. Real estate purchased by the county at a delinquent tax sale, and which has remained unredeemed for a period of 2 years shall be offered for sale on each second Monday in June in each county as mandated by statute. These lands are known as Resale Properties. At Resale auction, the opening bid begins at two-thirds the current year’s assessed value, or the total of taxes, interest, penalties and costs due, whichever is the lesser. Successful bidders are awarded a Resale Tax Deed. The issuance of such deed shall vest, in the grantee, an absolute and perfect title in fee simple. Once again if no bidders are present then the property is bid off in the name of the county. A tax deed is issued in the name of the county commissioners. Any property acquired by the county under these circumstances is available for a subsequent, private sale known as a Commissioner’s Sale. The price of the opening bid is subject to the approval of the county commissioners, which can be less than the original amount of taxes, interest, penalties, and costs due. Once an opening bid is approved, the real estate is once again advertised for sale and auctioned to the highest bidder with a tax deed being awarded to the successful bidder.

Oklahoma county treasurers and tax collectors sell tax lien certificates to the winning bidder at the delinquent property tax sale. In addition, Oklahoma sells tax deeds.

Tax Sale Type: Tax Lien Certificates (68-3111) and Tax Deeds (68-3135)

Contact: County Tax Collector Sec. 68-3108 (A))

Interest Rate: 8% per annum (Sec. 68-3113)

Penalty Rate: None

Bid Procedure: Random selection or ‘impartial drawing’ (Sec. 68-3108 (A))

Redemption Period: Two (2) years (Sec. 68-3117 (b)) Law: Title 68, Article 31, “Delinquent Taxes and Collection.”

Additional Notes:

Multiple Tax Sales: As far as Oklahoma is concerned, at 8% per annum it doesn’t provide the biggest rate of return. However, it does keep the competition down.

The Oklahoma tax sale process can be a bit confusing, but I’ll do my best to make sense of it. First you should know that Oklahoma has three tax sales:

• Tax Sale
• Resales and
• County Commissioners Sales

The “Tax Sale” is held each year on the first Monday in October (Sec. 68-3107). The winning bidder receives a tax lien certificate which draws interest at 8% per annum subject to a 2-year redemption period.

Any tax lien not sold at the “Tax Sale” is assigned to the county and can be purchased over the counter any time prior to the expiration of the 2-year redemption period (Sec. 68-3108).

The “Resale” or second buying opportunity includes properties which remain unredeemed for a period of two years from the date of the sale… (Sec. 68-3125) and occurs the second Monday of June each year. The winning bidder will receive a treasurer or tax deed. Any property not sold at the “Resale” will be struck off to the county. The “County Commissioners Sale” or third buying opportunity includes properties not sold at either the “tax sale” or the “resale.” At the county commissioner sale “Properties are sold by the treasurer at a price approved by the county commissioners” (Sec. 68-3135 ).

Counties / Municipalities located in Oklahoma

The following is a list of counties located in the state of Oklahoma. Tax lien certificates for properties located in the following counties are sold at Oklahoma 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: