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Lessons From a Tax Foreclosure Gone Bad

March 23, 2022

Most tax foreclosure sales involve vacant, unloved properties.  But not always. The risk of homelessness is one reason that the General Assembly and our courts demand that taxpayers’ property rights are adequately protected during the foreclosure process.  A key to … Continued

Tips for Tax Foreclosure Sales

April 24, 2018

Carolina County is selling Parcel A at a tax foreclosure sale.  The county enters an opening bid of $4,500, the total taxes and costs owed on the property.  Happily for the county, two other bidders, Billy Blue Devil and Wanda … Continued

In Defense of In Rem

December 10, 2015

The in rem property tax foreclosure process under G.S. 105-375 has recently come under criticism from some title insurance companies and attorneys. They raise two related arguments against using in rem.  First, they argue that courts are quick to overturn … Continued

The Tax Foreclosure Decision

May 28, 2015

Tax collectors are obligated to “use all lawful means” to collect their local governments’ property taxes. G.S. 105-350(1).  This provision implicitly obligates local governments to use the foreclosure remedy when available and necessary. Despite this legal obligation some local governments remain … Continued

Property Tax Foreclosures: Attorneys’ Fees and Interest

May 14, 2015

Foreclosure is a powerful collection remedy of last resort for property taxes that are a lien on real property.  Because property tax liens generally have super-priority, local governments almost always get paid first from the proceeds of a foreclosure sale. … Continued

The Nuts and Bolts of Property Tax Liens

January 16, 2015

I’ve blogged recently about the importance of record ownership as of January 1 and January 6 for property tax listing and collection.  Today I continue this New Year’s theme and discuss the property tax liens on real property that arise … Continued

Tax Foreclosure and Redevelopment

October 18, 2013

Carolina County has been working with its largest municipality, Tar Heel Town, to  redevelop one of Tar Heel Town’s more dilapidated neighborhoods.  Many of the properties in this neighborhood are owned by absentee landlords who fail to maintain them properly.  … Continued

Tax Foreclosures and Competing Liens

September 13, 2012

When property owners stop paying their property taxes, it’s a good bet that they’ve been ignoring other obligations concerning those properties as well.  Weeds grow chest-high, houses slowly crumble, and neighbors begin to use the lots as informal trash dumps. … Continued