The short answer
A delinquent tax letter means the county hasn’t received the tax payment for your parcel. It is usually not a sale notice yet. Depending on your state, you may have anywhere from a few months to a few years before the county can sell the land or a lien on it. Interest and penalties grow the whole time, so it’s worth acting early.
What the letter is actually telling you
County tax letters tend to look alike, but they say very different things. Find the title near the top of yours:
- Delinquency notice
- The payment deadline passed. Penalties and interest have started.
- Notice of tax lien sale
- The county plans to sell an investor the right to collect what you owe, with interest.
- Notice of tax deed sale
- The county plans to sell the land itself. This one has a date on it. Take it seriously.
- Redemption notice
- The lien or land was sold, and you have a set window to pay and keep it.
If the letter still comes in a parent’s name because the land was inherited and probate never got finished, the tax lien stays on the land no matter whose name is on the bill. Our guide on selling inherited land before probate closes covers what it takes to sell in that situation.
How much time you have depends on your state
Some states sell tax liens, some sell the property by deed, and a few do both. The redemption period, your window to pay and keep the land, ranges from none at all to several years. The county treasurer’s office can tell you the exact date for your parcel. Have your parcel number (APN) ready when you call. It’s printed on the letter and on your tax bill.
Your options
- Pay it and keep the land. If you want the property, this is the cleanest route. Ask the county for a payoff amount good through a specific date.
- Ask about a payment plan. Many counties offer installment agreements before a sale is scheduled.
- Sell the land, and pay the taxes from the sale. The back taxes, and any county liens, are paid off at closing, out of the sale price. You don’t need to bring cash to the table.
- Do nothing. Eventually the county sells the land or a lien on it. You may be owed any money left over after the taxes are paid, but you usually have to file a claim for it, and there’s a deadline.
Can you sell land that has back taxes owed?
Yes. It happens all the time. The title company pays the county from the proceeds at closing, and the new owner takes the land with a clean tax record.
From our desk
A real deal, in Daniel’s words
A woman in California inherited a lot of about a quarter acre in the middle of Seguin, in Guadalupe County, Texas, right by the Guadalupe River. It was a beautiful spot, but it sat in a floodway, inside the flood zone, so she was never going to build there, and selling it took a very specific kind of buyer. The taxes went unpaid, and then a letter came from the county saying the lot was going to auction. She didn’t want to put any more money into it and was ready to let it go.
We took it off her hands as is. We paid off the back taxes, and she walked away with money instead of losing the land for nothing.
Common questions
Does a delinquent tax letter mean the county is selling my land?
Usually not yet. A delinquency notice means the payment deadline passed and penalties have started. A notice of tax deed sale is the one with a sale date on it.
How long do I have before the county can sell the land?
It depends on your state. The redemption period, your window to pay and keep the land, ranges from none at all to several years. The county treasurer can tell you the exact date for your parcel.
Can I set up a payment plan with the county?
Many counties offer installment agreements before a sale is scheduled. Ask the treasurer or tax collector for a payoff amount and what plans they offer.
Can I sell land that has back taxes owed?
Yes. The title company pays the county from the sale proceeds at closing, and the new owner takes the land with a clean tax record. You do not need to bring cash to the table.
Related guides
Sources
- Texas Comptroller, Paying Your Taxes
- Texas Tax Code chapter 33, penalties, interest and payment plans
- Texas Tax Code chapter 34, tax sales, redemption and excess proceeds
- Ohio Revised Code 323.31, delinquent tax contracts
- Ohio Revised Code 5721.25, paying off the taxes before a sale is confirmed
- Tyler v. Hennepin County, U.S. Supreme Court, 2023, on money left over after a tax sale
This guide is general information, not legal or tax advice. Rules and deadlines vary by state and county. Confirm the dates for your parcel with your county treasurer or tax collector.