DELINQUENT TAX SALE

Delinquent Tax Certificate Sale

This summary is provided for your convenience only. The Annual Tax Sale is governed by Chapter 140, Revised Statutes of Missouri, which is the final authority.

REGISTRATION: All persons participating in the Real Estate Tax Sale must register before making bids. Bidders are strongly advised to read all laws pertaining to tax certificate sales and contact an attorney for any legal advice.

• All lands and lots on which taxes are delinquent and unpaid are subject to a tax certificate sale at public auction.
• The tax sale is held annually, on the fourth Monday in August, commencing at 10:00 a.m. at the Ralls County Courthouse.
• Delinquent taxes with penalty, interest and costs may be paid to the County Collector at any time before the property is sold.
• The list of properties subject to sale is published in a local newspaper for three consecutive weeks prior to the tax sale.
• Non-residents of Missouri may not bid unless special arrangements have been made with the Collector prior to the sale.
• The sale is conducted by the Collector of Revenue. Bidding begins for the amount of taxes, penalties and sales costs.
• Buyer must be present to bid
• Each parcel offered for sale is individually identified by a brief legal description.
• The successful bidder receives a sale certificate identifying the parcel and bid price at the auction. The total purchase price must be paid to the Collector’s office immediately at the close of the sale. The Certificate of Purchase is retained for one year or until the property is redeemed.
• The original property owner may redeem the property any time within one year from the sale date.
• The purchaser may assign ownership of the Certificate of Purchase by completing the assignment portion on the Certificate. The assignee must be a resident of Missouri. Such assignment must be notarized.
• Liens are not extinguished at the time of sale or during any period of redemption.

Property Redemption

Property sold at tax certificate sale for delinquent taxes may be redeemed within one year from the issuance of a Certificate of Purchase as follows:

• Pay the Collector the base amount on the Certificate of Purchase plus 10% annual interest.
• Pay the Collector the amount of any subsequent years’ taxes paid, if applicable, plus 10% annual interest.

We recommend you notify the Collector’s office at least 24 hours prior to scheduling an appointment to make the redemption, and allow approximately 20 minutes for completing the process.

Property may be redeemed by the owner of record, or on the owner’s behalf. The Collector’s office notifies the tax sale certificate of purchase holder when the property has been redeemed. The tax sale certificate of purchase must be surrendered to the collector before the holder will be reimbursed the bid amount plus interest.

A certificate of redemption will be issued to the owner of record and filed in the Ralls County Circuit Clerk and Recorder of Deeds office when the property is redeemed. The tax sale certificate of purchase holder will receive a copy of the certificate of redemption.

Collector’s Deed

If the property sold at tax certificate sale has not been redeemed during the one year redemption period, the holder of the Certificate of Purchase may apply for and receive a Collector’s Deed to the property. A Collector’s Deed can be issued to the Certificate of Purchase holder provided the following has occurred:

• The legal holder of the Certificate of Purchase is named as the original tax sale purchaser or the assignee on the original Certificate of Purchase;
• The purchaser shall obtain a title search report from a licensed attorney or licensed title company detailing the ownership and encumbrances on the property. Such title search report shall be declared invalid if the effective date is more than one hundred twenty days from the date the purchaser applies for a collector’s deed under section 140.250 or 140.420;
• At least ninety days before requesting a Collector’s Deed, the Certificate of Purchase holder must have notified, by certified mail, any person who holds a publicly recorded deed of trust, mortgage, lease, lien, or claim and verification of such mailing furnished to the Collector;
• If the search revealed no lien holders, the Certificate of Purchase holder has notified the Collector by affidavit that no publicly recorded deed of trust, mortgage, lease, lien, or claim exists;
• At least ninety days prior to requesting a Collector’s Deed, the Certificate of Purchase holder has notified the publicly recorded owner at the last known available address and the notification must have been by certified mail, stating the purchaser’s intent to obtain a Collector’s Deed;
• Property liens, with the possible exception of a federal tax lien, are extinguished once a Collector’s Deed is issued assuming compliance with notification(s) to lienholder(s) is proven;
• The Certificate of Purchase has been surrendered to the Collector; and
• Appropriate fees have been paid to the Collector including recording and collection fees.

Failure of the purchaser to obtain a Collector’s Deed within two years from the date on the Certificate of Purchase results in the loss of the purchaser’s lien on the property.