A tax deed is a legal document that provides written proof of ownership of real property acquired from the government at a tax sale. A tax sale is conducted by the government after a stipulated period of time for the non-payment of tax on real property.
Real property taxes are considered delinquent if not paid within a prescribed period of time. The property owner has an obligation to pay the real property taxes and failure to do so may result in a tax lien on the property and eventually a tax deed sale.
At a tax deed sale, the minimum bid is generally the amount of back taxes owed plus interest and costs associated with selling the property. In the event the property is not purchased, title may revert to the county government. In most jurisdictions, the county transfers title in a tax deed sale through either a Tax Deed or a Sheriff’s Deed.