How Do I Find Out About the Sale of Tax Foreclosed Real Estate in Arkansas?
- 1). Learn how property becomes tax delinquent. In Arkansas, property taxes are due October 10 of each year. Property taxes that are not paid by the due date begin to accumulate redemption fees. If taxes are not paid by October 10 of the following year, notice is transmitted by certificate of title to the Arkansas Commissioner of State Lands. The Commissioner holds the title for two years before selling the property at auction. The delinquent land owner has 30 days after the sale to redeem the property. He also can contest the tax sale during the following two years.
- 2). Ask for a list of tax delinquent properties available for purchase.Your county tax collector or the Commissioner of State Lands will provide such a list by mail or in person at any of the 75 county tax collector's offices or at the Commissioner's office at 109 State Capital, Little Rock, AR 72201. Property lists and tax foreclosure auction dates can also be accessed online through the home page of the Commissioner.
- 3). Expect to find information about the properties on the delinquent sales list, including the name and address of the property owner, a land description or parcel number, the amount of taxes due and the county assessed property value.
- 4). Investigate all properties of interest before the sale takes place. Look closely for liens, mortgages or other uncollected types of assessments. If properly filed, these liens are not canceled by a sale unless the holder has been notified by certified letter prior to the sale. The state of Arkansas does not guarantee title or access to land sold through public auction or negotiated sale.
- 5). Make a written bid before the sale takes place or an oral bid at the auction. An oral bid accepted at auction is a legal and binding contract to purchase. Only potential bidders who register and receive a pre-numbered bid card prior to the sale will be allowed to bid. Bids must not be less than the minimum amount shown on the bid list, which is equal to the assessed value of the land. The property is awarded to the highest bid received, either written or given orally at the auction. The first $100 of each parcel must be paid in cash or by cashier's check or money order. If a property is not sold at auction, it becomes available for a negotiated sale by the Commissioner of State Lands.
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