The County Treasurer is responsible for mailing Property Tax Statements to the owner of record, collecting property taxes, and disbursing taxes to the taxing authorities. Redemption on tax liens and mobile home permits are issued from the Treasurer's Office. The Country Treasurer also holds the office of Public Trustee and is responsible for processing release Deeds of Trust and Foreclosures on Deeds of Trust.
First Half Due: March 21, 2024
Second Half Due: June 15, 2024
Full Payment Due: April 30, 2024
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PRIORITY OF TAX LIENS
Tax liens take a superior position to all other encumbrances on real property. Other encumbrances are prioritized by the recorded filing date. Judgment liens, mechanic liens and other liens that have been placed on the property may have redemption rights, which can be exercised to protect their interest.
We are often asked, what is the standing of a lien holder who does not endorse their certificate when a subsequent lien holder applies for a Treasurer’s deed? The simplest answer is that at any time until the deed is issued, the holder of the oldest Tax Lien certificate has the option of paying the subsequent tax lien holder in full for his/her taxes, and all expenses incurred and may apply for a Treasurer’s deed in their name. It will require a new deed application and additional processing fees will be incurred. The senior lien holder may also elect to do nothing, in which case his/her lien will become null and void. This often happens when an investor decides to cut their losses, rather than continuing to advance money on an uncertain investment.
If a mortgage lender is involved, they also have full redemption rights, and should they elect to exercise those rights, they may pay the certificate holder who is applying for the deed. They may also pay the oldest certificate holder at their option. Keep in mind there is no mandatory requirement for the mortgage company to exercise their right to redeem. Should they elect to pay only the certificate holder who is applying for the treasurer’s deed, the senior certificate holder would still have a valid lien.
Subsequent mortgage holders have redemption rights determined by the filing dates on their deeds. The owner of record also has full redemption rights until the Treasurer’s deed is issued.
Treasurer’s deeds can be challenged in court and it is normally a good idea to file a quiet title suit, if you intend to build or sell the property. You may also want to obtain a survey to avoid any boundary disputes, particularly on mountain property or any property that has building improvements.
This is very general information. Each certificate may have unique problems, and it is recommended that you consult with your own attorney for any specific problems
GENERAL INFORMATION
Here are some facts to help understand what a tax lien sale investment is and what it is NOT: 1. When you purchase a tax lien sale certificate on property, you become a lien holder on the property. In essence, you loan funds to the owner to pay taxes. 2. You purchase the tax lien, NOT the property! In Chaffee County, eventual transfer of deed has occurred in less than 2% of all purchases. 3. Investing in tax liens through purchase at tax lien sale is just that - an investment. the purchase can be thought of in terms of a potentially long range C.D. Redemption of the certificate is at a given rate of return, and can occur up until the time a Treasurer's Deed is issued or until 15 years from the date of sale, whichever comes first. 4. Each year the Federal Reserve Bank of Kansas City determines the rate of return. The annual percentage rate is set at nine points above the Federal discount rate as of September 1. Interest rate at the time of tax sale is set for the life of the certificate. 5. Certificate of Purchase issued as result of tax sale is extinguished and becomes void by the issuance of a Treasurer's Deed on a subsequent sale.
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 suitable for building or desirable.
After the Sale:
Subsequent Year's Taxing: - After July 1st of each year, all tax lien sale certificate holders have first option to pay any subsequent years' taxes, which remain unpaid on properties for which they hold tax liens. These tax liens may be endorsed on the original certificate at the same guaranteed rate of return.
Treasure’s Deed Application: A Treasurer’s Deed may be issued 3 years from the original date of sale of on a Certificate of Purchase. Certificate holder must: 1. Surrender original certificate. 2. Complete Treasurer’s Deed application form.
Deed Application Involvement: 1. Property owner or record is notified of deed application and give two weeks to redeem before deed procedures start. 2. A $250.00 deposit fee is required. No interest is earned on deposit. Remittance of $250.00 deposit covers: a. Advertising cost; b. Certified mail fees; c. Title search fee d. Misc. legal fees.3. Subsequently assessed taxes must be paid prior to issuance of deed. Treasurer’s Deed will not be issued, nor will any refund be sent prior to these taxes being paid. If redemption is made before issuance, all redemption and deposit monies will be returned to the investor.