Northampton County, PA Tax Deed
I am new to the REI field. The tax sale is in a couple of weeks and I was hoping to get some help from seasoned investors in the tax deed area. Last year I purchased a property at a sheriff sale and I know the title search end of it but I'm unsure of a few things. Once you do the investigating/inspecting it is now Upset sale time.
1.What happens to existing mortgage?.
2.Are liens extinguished?
3.What happens if people are still residing?
4.Do you receive the deed immediately?
5.What happens with the title? I've read that you cannot sell the property until the title is "cleared"
6.What exactly is a tax claim deed?
Any help on what happens after the sale would be greatly appreciated.
Thank you in advance for any help.
I'm new to the site. If the format is funky let me know.
Thanks,
Nick
Hi and welcome to TCI,
If you go to http://www.thecreativeinvestor.com/ViewTopic32960-16-3.html
and read the posting, this should answer many of your questions.
Have a great day!
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Thanks John,
So my understanding is that after the sale completion whatever you have purchased is legally yours to control and if people still reside in the residence you should contact local authorities and have them removed. Also after the 60 day period the property is yours to do as you so desire including sale of property but in order to sell the title has to be clear. Does a clear title just have to free of all liens or is there more to it.
Thanks again for the help.
Nick
Good morning Nick,
Within sixty days of the sale, the Bureau files a petition for confirmation of the sales by the court. The owner may file objections to the confirmation of sale within thirty days following confirmation. So in answer to you question the minimum is 90 days and yes it could take longer based upon the objections. Remember within 60 days of sale the bureau request confirmation of the sale by the court after this point the owner has 30 days to file objections.
The Tax Claim Bureau will issue a deed to the purchaser (his, her or their heirs or assigns) upon confirmation of the sale by the Court of Common Pleas. The Deed will not contain any warranty, either general or special. Approximately three (3) months time from the date of sale is required before the deed will be delivered to the
Purchaser
EVERY SUCH SALE SHALL CONVEY TITLE TO THE PROPERTY UNDER AND SUBJECT TO THE LIEN OF EVERY RECORDED OBLIGATION, CLAIM, LIEN, ESTATE, MORTGAGE OR GROUND RENT WITH WHICH SAID PROPERTY MAY HAVE OR SHALL BECOME CHARGED OR FOR WHICH IT MAY BECOME LIABLE
It is strongly urged that prospective purchasers have examinations made of the title to any tracts in which they may be interested. Every reasonable effort has been made to keep these proceedings free from error. However, in every case, the property is offered for sale by the Tax Claim Bureau without any guarantee of warranty, either as
to existence, correctness of ownership, size, boundaries, locations, structures or lack of structures upon the land, or any other matter or thing. No adjustment will be made after the property is struck down
You will also deal with deed transfer tax is known as the realty transfer tax in Pennsylvania. The current rate for the transfer tax is two percent of the sales price. Ordinarily, one percent is the Commonwealth's share and one percent is the local government's share. In some areas, the amount of the local government taxes vary from 1.5% to 4.07%.
I hope this helps and I would highly recommend taking a course on this form of investing.
Have a great day,
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