Owners who lose their mixed-use property to a tax sale may still redeem it. Redeeming a property involves getting it back from tax collectors. Local jurisdictions auction off liens to properties with delinquent property taxes to pay for the owner’s unpaid property taxes.
Mixed-use properties include multi-story buildings, typically with a business operating on the lower floor and residential space on top. Redeeming these properties provides different challenges at times than more traditional properties.
Maryland tax sale attorneys can help owners navigate the system to get their property back. Here is an overview of the legalities surrounding mixed-use properties and some case laws that illustrate how an individual can redeem property after a tax sale.
How Tax Sales Work
Tax sales are public auctions. Properties go on tax sales when their owners fail to pay property tax. These properties may then go to the highest bidder who is willing to pay the total amount of due taxes attached to the properties.
Winning bidders will receive a certificate of sale. However, they do not own the property yet because Maryland law has a redemption period. During this time, property owners can still redeem the property by paying the lien to avoid losing their property to the highest bidder.
Tax collectors give notice to property owners before and after-tax sales. Legally, they must mail notices at least a month before publishing a notice about the sale. Also, they must send notice within two months after the sale to let property owners know about their rights for redemption.
Winning bidders can challenge the property owner’s attempt to redeem the property. Perhaps they are extremely interested in the property up for sale and would do anything to claim it. Therefore, they file complaints to foreclose a property owner’s right to redemption.
Mixed-use properties can be challenging to redeem when they go up for tax sale. Interested parties will fight to get property rights. However, redemption is not impossible if you have a seasoned Maryland tax lien attorney on your side.
Consider getting help from our experts at LewisMcDaniels law firm. We understand how the redemption process can be complicated, especially when winning bidders insist on owning the property up for sale. Give us a call and allow us to argue on your behalf.