A major chemical spill that has contaminated the water
supply in parts of West Virginia and left hundreds of thousands of people
without clean water has compounded problems for tax delinquent property owners.
When payment deadlines are not met, counties issue tax
liens on these properties and list them for annual tax lien certificate
auctions throughout the state. For example, Upshur County begins processing tax
defaulted properties with its first legal publication of a list in May of each
year. In September of the same year, the second legal publication is made,
listing potential tax lien certificates for sale.
Those who want to buy tax lien certificates should make
note of the fact that they are sold on an “as is” basis and warranties are
neither expressed nor implied by the county. That being said, any tax lien
certificates for sale only allow the purchaser to assume the tax lien.
Investors are not buying the property or parcel.
The opening bid at an auction is set at the amount of delinquent
taxes and fees due. The purchaser is required by West Virginia state law to pay
the current year’s taxes as well as delinquent taxes on any property they
purchase. A Certificate of Sale will be issued by the Sheriff and is good for
18 months from the date of issue. During this time the tax delinquent property
owner is given the right to redeem by paying all taxes and fees due.
Although recovery of delinquent revenue is vital to the
county’s operation, the state of West Virginia has many provisions to protect
the property owner from loss. For instance, investors have no right to assume
ownership until a deed is issued by the county clerk; in this case, Upshur
County.
During the 18 month redemption period there are also requirements
placed on purchasers. Purchasers, or investors are responsible for knowing what
those requirements are and fulfilling them.
To be sure you are aware of these requirements, a copy
of what they call “Obligations of Purchaser” may be obtained by contacting the
Upshur County Clerk’s Office. Know them before you intend to bid on or buy tax
lien certificates. Failure to follow the requirements could result in the
county clerk issuing a Certificate of cancellation for your tax lien
certificate.
The West Virginia Water Ban is expected to be lifted in
sometime this week, but tax lien certificate investing is here to stay. For
more information on West Virginia tax lien certificate investing, please go to:
http://www.tedthomas.com/tax-deeds/tax-deed-states/west-virginia-tax-lien-certificates/
Remember: research every county auction, whether or not
you've bid in the past. Things occasionally change and it’s vital to be abreast
of new requirements. Keep in mind that West Virginia is only one of 50 states
offering tax defaulted property investment opportunities.
This year there will be over 5,000 tax defaulted
property auctions in any of 3,200 counties and 1,400 municipalities around the
country. To learn more about how to make money buying tax liens (tax lien
certificates), watch this [free tutorial video].
