Annually, unpaid taxes are available for purchase at the Tax Lien Sale. Here are some facts to help you understand what a tax lien sale investment is, and is NOT:
The Treasurer’s Office wishes to make it very clear that all sales are made with a “buyer beware” warning. While we make every effort to remove property with bankruptcies, FDIC or RTC connections, we cannot guarantee a property to be buildable or desirable. In any legal proceeding involving a tax lien, Douglas County will not represent the investor.
Generally the tax sale is held in early November. Douglas County uses SRI Incorporated (www.zeusauction.com) for the internet tax sale. Information regarding an upcoming tax certificate sale auction will be available in October when the listing of advertised properties become available.
Tax sales are held once per year, typically in the fall, but must be held on or before the second Monday in December.
Properties with unpaid delinquent taxes become eligible for the tax lien sale the same year.
Properties that have unpaid taxes due must be advertised in a local paper for three consecutive weeks prior to the tax sale. The first publication will be at least 4 weeks prior to the date of the sale. We advertise in the Colorado Community Media newspapers, and the advertising list will also be available on our website.
Payment for all winning bids will be made via ACH from the bidders bank account provided in the registration process. Upon finalization of the winning bids, the funds will be debited from your bank account.
The minimum starting bid for each tax lien certificate is equal to the amount of the delinquent taxes, interest, advertising and fees as shown on the SRI internet auction website. Douglas County tax certificates sales are “PREMIUM” auctions in which a bidder can choose to bid up the minimum amount due. Premiums are never returned and draw no interest, they should be considered a cost of securing the tax lien. The annual rate of redemption interest is determined annually based on nine percentage points above the current federal interest rate as of Sept 1.
All sales are final. Once bidding closes the tax certificate is awarded to the winning bidder and the bidder is obligated to pay for the tax certificate.
After a period of 3 years from the date of the tax lien, the investor can apply for a Treasurer’s deed.
You will receive a verification from SRI and your Record of Sale will be available on the Douglas County website. The original tax certificate is kept in the Treasurer’s office. If you want to assign your purchase to another investor, contact our office at 303.660.7455 or email [email protected]
