Alabama

Primary Sale Type(s): Redeemable Deed
Sale Date(s): Annually: April – May
Redemption Period: 36 Months
Interest Rate: 12%
Penalty Rate: 10%
Bid Type(s): Premium Bid
Bid Down Interest: Yes
Alabama State Website: http://www.alabama.gov
Statute Section(s): http://www.legislature.state.al.us/codeofAlabama/1975/135590.htm

Alabama Overview:

The two most populous areas in Washington are King (1,931,000+) and Pierce (795,000+) County. Search Demographics: Washington is classified as a Tax Deed state. After a period of 3 years of unpaid taxes, the county treasurer will initiate a foreclosure on the properties and list them as delinquent. All delinquent property taxes that are not redeemed by the property owner by the end of 3 years “after the property first became delinquent” will be foreclosed upon.

Auction/Redemption Process:

Tax sales are usually conducted in or in front of the county courthouse building or any other county owned buildings. Investors will need to register prior to the auction, although most counties will allow you to register the day of the auction. Upon registration investors will be given a bidding number which will be used in the auction. Tax liens are purchased with a 3 year redemption period, and a 12% interest rate of return annually or 1% per month. Some counties pay interest on both the minimum and premium bid amounts. The majority of the counties use a ‘Premium Bidding’ system when auctioning liens.