Insights · Tax foreclosure · Florida
How a property tax foreclosure unfolds in Florida, step by step
Here is how it works.
Florida handles unpaid property taxes differently from most states. There is no lawsuit at the start. Instead, the debt itself is sold to an investor, and the clock starts ticking quietly in the background. Families often find out only when the auction notice arrives.
1. The taxes go unpaid and the debt is sold
Property taxes become delinquent on April 1. Around June, the county tax collector sells a “tax certificate” for the unpaid amount to an investor. The investor pays the county, and the debt now belongs to them, growing with interest.
2. Two years of waiting
Nothing visible happens for a while. The investor must wait at least two years before they can act, and most do not act on the first day. During this time the family can pay off the certificate and the interest at any point and the matter is closed.
3. The investor applies for a tax deed
Once the waiting period is over, the investor asks the county to sell the home. The tax collector passes the file to the clerk of court, who searches the records to find the owner and anyone else with a claim.
4. Notices go out
The clerk mails a notice to the owner’s last known address, has the sheriff post one on the property, and prints one in a local newspaper for four weeks. When the owner has died, that notice often goes to a name and an address that no longer answer.
5. The home goes to auction
The clerk sells the property at a public auction to the highest bidder, most counties online. If the home was the owner’s homestead, bidding starts at half its assessed value, which protects some of the family’s equity. Anything above the debt is owed to the heirs, who must file a claim to receive it. The full rules are in Florida Statutes, Chapter 197.
Right up until the sale is complete, the family can pay off what is owed and keep the home.
It can be stopped, even late
Heirship Title works with Florida families in this position and can stop a tax deed sale up to four days before the auction.
If a home in your family has a tax certificate on it, or you have received a notice from the clerk of court, call or text us at (754) 247-1854. The earlier we talk, the more options there are.