How Pasco County, Florida, Conducts Tax Sales

Tax sales in Pasco County, Florida, are a key mechanism for recovering unpaid property taxes while offering investment opportunities to the public. These sales follow a structured process that ensures transparency and compliance with state laws. Here’s a detailed look at how Pasco County handles tax sales, from tax delinquency to the final sale.

Delinquency and Tax Certificate Sale

Addressing Delinquent Taxes:

Property taxes in Pasco County become delinquent on April 1 each year. Unpaid taxes accrue a 3% interest charge on the gross amount. Within 45 days of delinquency, the Tax Collector advertises these properties in a local newspaper, with advertising costs added to the tax bill.

The Tax Certificate Sale:

By June 1, Pasco County will conduct a Tax Certificate Sale. During this online auction, individuals and businesses can bid on tax certificates, which represent a lien on properties with unpaid taxes. Check out our Auction Calendar for scheduled auctions. Key details include:

1. Bidding Process:
   
   Investors bid by offering lower interest rates, starting from a maximum of 18%.
   
   The certificate is awarded to the bidder willing to accept the lowest rate.
   
   A minimum interest rate of 5% applies if the interest earned is less than that amount, except for zero-percent bids.
2. Ownership Clarification:
   
   Purchasing a tax certificate does not transfer property ownership. It creates a lien that can be redeemed by the property owner through payment of owed taxes plus interest.

Tax Deed Application

After two years from April 1 of the certificate’s issuance, certificate holders may escalate to a Tax Deed Application if the taxes remain unpaid. This step involves the following:

Initiating the Application:

Certificate holders must pay all additional amounts, including outstanding certificates, omitted taxes, current and delinquent taxes, and application fees.

Clerk Certification:

The Tax Collector certifies a list of individuals to be notified and the financial details involved. This certification is sent to the Clerk of the Circuit Court.

Tax Deed Sale

Tax deed sales in Pasco County are public auctions conducted online by the Clerk & Comptroller’s Office. The details are as follows:

Auction Logistics:

Sales are held monthly as needed, beginning at 10 a.m. Check out our Auction Calendar for scheduled auctions.

Bidders must register on the auction website and place a deposit of at least 5% of their anticipated high bid or $200, whichever is greater.

Winning the Auction:

The highest bidder receives the tax deed and becomes the property’s new owner.

You must make full payment by 10 a.m. the next business day via wire transfer, cash, or cashier’s check.

Key Considerations for Buyers

1. Property Research:
   
   Tax deed sales convey properties through a tax deed, which does not guarantee a clear title. Advisors recommend that buyers conduct a title search to identify potential liens or encumbrances. Understand that some liens may survive the sale, such as those held by municipalities or counties.
2. Post-Sale Options:
   
   Unsold properties from tax deed auctions join the Lists of Lands and become available for direct purchase 91 days after the sale. Buyers can submit a written request for the purchase price to the Clerk’s Office.

Why Participate in Pasco County Tax Sales?

Pasco County’s tax sales are a transparent and regulated process that balances public revenue needs with investment potential. Whether you’re a property owner looking to avoid delinquency or an investor exploring opportunities, understanding the steps involved is crucial for navigating the system effectively.

Useful Links

• Auction Calendar
• Comprehensive Guide to Florida’s Deed Auction Process and Key Requirements
• Discover the intriguing world of Hybrid Auctions
• Discover Tax Deeds and how you can find property for as little as $50! 
• Want to get started with Tax Liens? Watch this video!
• Explore the lucrative world of Florida Tax Liens and Deeds

Need a Hand?

Explore our Auction Calendar for upcoming sales! Need expert guidance or have questions about the process? Book a Call Now to connect with a professional who can help you every step of the way. Don’t forget to check out our free resources for expert tips, answers, and strategies to make confident investment decisions.

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