Mississippi tax liens pay 1.5 percent per month. The sale is handled at the end of August, I think. All counties have their sale on the same day. A few counties have a half-year sale in March or April.
You may bid over the value of the lien, but all overbids go to the county treasury and are not returned on redemtion.
In urban areas there will be up to 10 percent overbids by people who are playing the odds against early redemtion. I think, but am not sure, that the debtor has to pay two months taxes (3%) regardless of when the property is redeemed. Again, any overbids are lost forever.
In more rural counties the bidders will form a gentlemen's agreement to have a round-robin, where you simply go around the room and take the property being offered. If you pass on a property the next person gets the option, and you lose your turn. In the past, some tax collectors actually refused to allow bid-ups, but now they will. However, they do not mind the round-robin system in most counties.
If you decide to hire a bunch of temp workers to come with you then you will disrupt the system and everyone will start bidding up. But many people hire a bunch of temp workers and send them to different counties, which is just as good.
If you decide to be a big shot and bid-up, be aware that you are in a room of seasoned professionals who will bid up, too, so all you will do is help the county treasury and screw up everyone's yields.
Getting actually possession of the property is tougher. After two or three years your lien will mature and you get a tax deed. You must bring a suit to confirm title in chancery court if you want good title. The court will accept almost any excuse to allow people to keep their land, i.e., "My brother was suppposed to pay the tax." If you lose the suit you are out the costs of suit, although you do get what you paid at the tax sale plus interest. But this will pale in comparison to the cost of the suit. Note that many suits go uncontested.
Adverse possession in Mississippi takes 10 years, but I think there is a much shortened period for property lost at tax sales. So do not think that you can simply pay the taxes on the land and improve your title. If someone is living on it you will end up losing the property to them through adverse possession unless you confirm title and assert your rights.
I hope this information is useful. Note that I do use the words "I think" a lot, so do double-check this information.
I like that you have given a lot of infomration to the poster.
I think, however, that there may be some misunderstanding about adverse possession. For somebody, such as a property occupant, to claim adverse possession, they will have had to pay the property taxes for the adverse possession period. If they had done that there would be no tax lien and no tax deed. If you pay the property taxes, they probably cannot also pay the taxes and get adverse possession.
I don't believe the payment of property taxes is the deciding factor in Mississippi adverse possession law. Rather it is based on whether the possession is open and notorius, exclusive and uninterrupted.
I could be wrong here, but I am just waving a warning flag that most people will not need. Do NOT simply let your tax deed mature and do nothing if there are people occupying the land. You need to evict the people from the land at some point (and sorry, I don't know that statutory period).
I don't know MS law, but I'll bet if you check you will see that paying the property taxes is a requirement for an adverse possession lawsuit to be concluded successfully.
And excuse me if I seem picky, but I feel that it is always important to be very accurate in what one says. In the situation you describe, it would not be an eviction action. It would be an "ejectment" lawsuit. Evictions are when the occupants have an agreement to rent the property. An ejectment is for people who have no right be on the property because they are or were renters.
talk to the county treasurer, there is a 2 year right of redemption, if they don't redeem in 2 years you get a tax deed.
Tennessee has a one year right of redemption. The owner also has to pay penalties and any maintainence fees if they redeem.
Mississippi tax liens pay 1.5 percent per month. The sale is handled at the end of August, I think. All counties have their sale on the same day. A few counties have a half-year sale in March or April.
You may bid over the value of the lien, but all overbids go to the county treasury and are not returned on redemtion.
In urban areas there will be up to 10 percent overbids by people who are playing the odds against early redemtion. I think, but am not sure, that the debtor has to pay two months taxes (3%) regardless of when the property is redeemed. Again, any overbids are lost forever.
In more rural counties the bidders will form a gentlemen's agreement to have a round-robin, where you simply go around the room and take the property being offered. If you pass on a property the next person gets the option, and you lose your turn. In the past, some tax collectors actually refused to allow bid-ups, but now they will. However, they do not mind the round-robin system in most counties.
If you decide to hire a bunch of temp workers to come with you then you will disrupt the system and everyone will start bidding up. But many people hire a bunch of temp workers and send them to different counties, which is just as good.
If you decide to be a big shot and bid-up, be aware that you are in a room of seasoned professionals who will bid up, too, so all you will do is help the county treasury and screw up everyone's yields.
Getting actually possession of the property is tougher. After two or three years your lien will mature and you get a tax deed. You must bring a suit to confirm title in chancery court if you want good title. The court will accept almost any excuse to allow people to keep their land, i.e., "My brother was suppposed to pay the tax." If you lose the suit you are out the costs of suit, although you do get what you paid at the tax sale plus interest. But this will pale in comparison to the cost of the suit. Note that many suits go uncontested.
Adverse possession in Mississippi takes 10 years, but I think there is a much shortened period for property lost at tax sales. So do not think that you can simply pay the taxes on the land and improve your title. If someone is living on it you will end up losing the property to them through adverse possession unless you confirm title and assert your rights.
I hope this information is useful. Note that I do use the words "I think" a lot, so do double-check this information.
F Hurdle--(MS)----------------
I like that you have given a lot of infomration to the poster.
I think, however, that there may be some misunderstanding about adverse possession. For somebody, such as a property occupant, to claim adverse possession, they will have had to pay the property taxes for the adverse possession period. If they had done that there would be no tax lien and no tax deed. If you pay the property taxes, they probably cannot also pay the taxes and get adverse possession.
Good Investing************Ron Starr**********
Ronald,
I don't believe the payment of property taxes is the deciding factor in Mississippi adverse possession law. Rather it is based on whether the possession is open and notorius, exclusive and uninterrupted.
I could be wrong here, but I am just waving a warning flag that most people will not need. Do NOT simply let your tax deed mature and do nothing if there are people occupying the land. You need to evict the people from the land at some point (and sorry, I don't know that statutory period).
does anyone have experience in best eviction procedures. ie law enforcement etc...
F. Hurdle--(MS)------------------
I don't know MS law, but I'll bet if you check you will see that paying the property taxes is a requirement for an adverse possession lawsuit to be concluded successfully.
And excuse me if I seem picky, but I feel that it is always important to be very accurate in what one says. In the situation you describe, it would not be an eviction action. It would be an "ejectment" lawsuit. Evictions are when the occupants have an agreement to rent the property. An ejectment is for people who have no right be on the property because they are or were renters.
Good Investing*************Ron Starr************