Somervell County, Texas Redeemable Tax Deed Sale Guide

Introduction

Somervell County is a small rural county in North‑Central Texas with Glen Rose as its county seat. It sits on the Paluxy River, about an hour southwest of Fort Worth. The area is known for dinosaur tracks, state parks, and a major nuclear power plant. This guide explains how the county conducts tax sales, what investors need to know about redeemable tax deeds, and why this market may appeal to investors. It provides evergreen information without specific year references, so you can return to it whenever you consider investing in Somervell County.

Brief Overview of Somervell County’s Tax Deed Investing

Texas uses a redeemable tax deed system rather than tax lien certificates. When property owners fail to pay taxes, the county sells a deed to the property at auction. The buyer receives a sheriff’s deed but must allow the previous owner a period in which they can redeem the property by paying back taxes plus penalties. Because Texas law sets the penalty rather than an interest rate, investors can earn a fixed return if the property is redeemed. If the owner does not redeem within the allowed period, the buyer may eventually receive full ownership.

Important Details

CategoryDescription
Tax Sale TypeRedeemable tax deeds rather than tax lien certificates.
Typical Sale DateFirst Tuesday of each month, with auctions held between 10 a.m. and 4 p.m. local time.
Redemption Period180 days for most properties; two years for homestead or agricultural property.
Interest/Penalty RateOwners pay a 25 % penalty on the amount owed for the first year; if redemption is allowed for two years, the penalty increases to 50 % in the second year.
Bid ProcedurePremium bid: highest bidder wins, subject to a minimum bid of taxes and costs.
DepositSome counties require registration and proof of no delinquent taxes before bidding.
Auction LocationAuctions are usually held at the county courthouse steps (101 NE Barnard St, Glen Rose).
Contact InformationTreasurer: April Campos; email: [email protected]; phone: 254‑897‑2419.
Latest SaleAs of a recent listing, Somervell County held an in‑person sale with two redeemable deeds in April; always confirm upcoming dates with the tax office.

Fun Facts About Somervell County

  • Small but growing: The county’s estimated population is around 10 thousand people. It has a growth rate of about one percent per year.
  • High incomes: The median household income is roughly US$83 thousand, one of the highest among rural Texas counties.
  • Dinosaur capital: Dinosaur Valley State Park, a 1,524 acre park along the Paluxy River, preserves some of the best dinosaur trackways in North America. Visitors can walk alongside fossilized footprints of long‑gone creatures.
  • Major tax base: The Comanche Peak Nuclear Power Plant is located near Glen Rose and is the largest taxpayer in the county, paying about US$70 million annually in state and local taxes.
  • Diverse economy: Key employment sectors include construction, manufacturing, and health care/social assistance. Many residents also commute to the Dallas‑Fort Worth area for work.

Attractions & Economic Highlights

Somervell County offers more than investment opportunities. Dinosaur Valley State Park features scenic wooded and hilly terrain along the Paluxy River with abundant wildlife. Visitors enjoy camping, hiking, and viewing dinosaur footprints. Nearby is Fossil Rim Wildlife Center, a nonprofit wildlife conservation facility where guests drive through open habitats to see endangered species; it is located at 2299 County Road 2008, Glen Rose, and is a major tourism draw. The county also hosts the Somervell County Museum and Expo Center, offering cultural events and fairs. Transportation options include U.S. Highways 67 and 144, which connect Glen Rose to major interstate routes. While the county has no commercial airports or rail lines, its proximity to Fort Worth (60 miles) makes commuting feasible. Economically, the county is anchored by Comanche Peak Nuclear Power Plant, construction, manufacturing, and health care.

Why Somervell County is Ideal for Redeemable Tax Deed Investors

The county combines rural charm with strong economic fundamentals. High median household incomes and a median property value around US$253 thousand suggest a stable homeowner base. The Comanche Peak plant provides a significant tax base and thousands of well‑paid jobs, contributing about US$70 million in state and local taxes each year. Property demand remains steady because of tourism and its proximity to the Dallas‑Fort Worth metroplex. These factors reduce the risk of properties languishing and make Somervell County an attractive location for redeemable tax deed investors seeking high returns with relatively low risk.

Auction Process for Tax Deed Sales

Texas law requires tax foreclosure sales to occur on the first Tuesday of each month between 10 a.m. and 4 p.m. at a location set by the commissioners court. In Somervell County, sales are generally held on the courthouse steps at 101 NE Barnard Street, Glen Rose. The sale is conducted by the sheriff or constable. Bidders must bring proof from the tax assessor‑collector that they owe no delinquent taxes. Some counties require bidders to register beforehand; this is typically done at the treasurer’s office or tax assessor‑collector’s office. A minimum bid is set at the amount of delinquent taxes, penalties, interest, and court costs.

How the Auction Works

  1. Registration: Before the sale begins, potential bidders may need to sign up with the tax assessor‑collector and present a “Statement of No Delinquent Taxes”.
  2. Opening bid: The officer reads each property description and announces the minimum bid, which is equal to the total taxes and costs.
  3. Bidding: The auction uses a premium bid method: bidders offer amounts above the minimum. The highest bid wins. Bids are usually made orally at in‑person auctions.
  4. Payment: Successful bidders typically must pay the amount immediately by cash or certified funds. Failure to pay can result in forfeiture of the bid.

Deed issuance: The sheriff or constable issues a deed without warranty. The buyer may take possession but is subject to the owner’s right of redemption.

Carson county courthouse Texas

Maximum Potential Returns and Expected Returns

Texas redemption laws set fixed penalties rather than a fluctuating interest rate. For most property types, owners have 180 days to redeem by paying the taxes, costs, and a 25 % penalty. For homestead and agricultural properties, the redemption period extends to two years, and if redeemed in the second year the penalty rises to 50 %. In either case, the penalty is based on the amount bid, not just the tax owed. This structure means investors can earn substantial returns quickly when owners redeem. If the property is not redeemed, investors may eventually acquire full title. Returns may vary if other liens exist or if legal action is necessary to clear title, so due diligence is essential.

Open to All Investors / Foreign Investor Participation

Texas does not restrict tax deed sales to residents. Both U.S. and international investors may bid. There is no citizenship requirement, though all bidders must comply with registration and payment rules. Because properties are sold by public auction, the process is transparent and open. International investors should understand that they remain subject to U.S. tax laws and may need to work with a local attorney for closing and recording. Foreign currency is generally not accepted, so investors must arrange payment in U.S. dollars. These sales offer a global opportunity for diversification and high yields, particularly because the fixed penalty can outperform many traditional savings or bond investments.

What Due Diligence Entails

Steps for Proper Due Diligence

Successful tax deed investing requires careful research. Start by reviewing the county’s tax sale list and identify properties of interest. Check property records and maps to confirm the legal description, size, and assessed value. The Somervell County Clerk’s office provides property records and land deeds dating back to 1875. Inspect the property from the street to assess condition and neighborhood; trespassing is not allowed. Perform a title search to see if there are other liens, such as mortgages or IRS liens, which may survive the sale. Contact the appraisal district to verify assessed value and tax status. Finally, estimate repair costs and compare them with potential resale value.

Risks of Skipping Due Diligence

Failing to perform due diligence can lead to costly surprises. Some properties may have hidden environmental issues or substantial liens that remain after the auction. Improvements listed on the tax roll might be gone, leaving only vacant land. In Texas, the sheriff’s deed conveys property “as is” with no warranties. If you do not research the property’s condition, you could end up with a dilapidated structure or a parcel with access problems. Without a title search, you may inherit unpaid mortgages or mechanic’s liens. Such risks can erode the high returns associated with tax deeds, so thorough research is critical.

Buying Over‑the‑Counter (OTC) Liens/Deeds in Somervell County

Some Texas counties allow investors to purchase “struck‑off” properties over the counter after the auction. These are properties that did not sell at auction and are held in trust by the county. To purchase an OTC deed, contact the county treasurer or tax assessor‑collector. You will need to make an offer at least equal to the amount of taxes and costs. The county will review the offer and, if accepted, prepare a deed. The advantage of OTC purchases is that there is no bidding competition, and the price and penalty terms are fixed. However, due diligence still applies because unsold properties may have issues that deterred bidders at the auction.

Why Somervell County is a Top Choice for Tax Deed Investors

Economic and Tax Advantages

Somervell County enjoys a stable economy with a median household income of about US$83 thousand and a median property value of roughly US$253 thousand. The Comanche Peak Nuclear Power Plant is the largest taxpayer, contributing approximately US$70 million in state and local taxes annually. Its presence supports high wages and thousands of direct and indirect jobs. Tourism from Dinosaur Valley State Park and Fossil Rim Wildlife Center adds a steady stream of visitors. The county’s low poverty rate and moderate population growth create a robust tax base, reducing the likelihood of sudden property value declines.

Real Estate Market Overview

The real estate market is characterized by single‑family homes on large lots, with new construction concentrated around Glen Rose. Because the county is small, supply is limited and demand from commuters and retirees helps maintain values. The median age of residents is about 44 years, indicating a mix of working families and older adults. Industries such as construction, manufacturing, and health care provide stable employment. These factors make Somervell County’s tax deeds appealing: there is potential for resale or rental once the redemption period ends.

Conclusion

Redeemable tax deed investing in Somervell County offers a balance of high returns and manageable risk. Texas holds tax sales on the first Tuesday of each month between 10 a.m. and 4 p.m. at locations designated by the commissioners court; in Somervell County this is usually the courthouse steps. Investors who perform proper due diligence can earn a 25 % penalty in as little as six months, or 50 % after two years. The county’s strong economy, anchored by the Comanche Peak plant, supports property values and reduces risk. Whether you are a local resident or a foreign investor, Somervell County’s tax deed auctions provide a transparent and rewarding way to invest in real estate. Remember to research each property thoroughly, register with the tax assessor‑collector, and be prepared to pay at the auction. With patience and care, you can add high‑yield assets to your portfolio.

Pro Tips

  • Arrive early: Auctions begin promptly at 10 a.m., and registration may close shortly before the start. Arriving early lets you ask last‑minute questions and ensures your paperwork is in order.
  • Bring certified funds: Counties often require payment by cash or cashier’s check. Prepare multiple cashier’s checks in smaller increments to make exact payments.
  • Avoid homesteaded property: Homestead and agricultural properties have a two‑year redemption period, tying up capital longer. Look for non‑homestead parcels to shorten your investment horizon.
  • Inspect properties from the street: Drive by before bidding to assess condition and neighborhood. Rural properties can be miles from services; factor travel and utilities into your plan.
  • Consult local experts: Talk with a real estate agent, attorney, or title company familiar with Somervell County. They can help verify titles, estimate rehab costs, and navigate redemption procedures.

Frequently Asked Questions

  1. Do I need a quiet title action after the redemption period?
    If you plan to sell or finance the property, a quiet title action may be necessary to clear clouds on the title. The sheriff’s deed conveys property without warranties, so lenders may require a quiet title before issuing a mortgage.
  2. Are there other liens on the property?
    Yes, some liens survive the tax sale. IRS liens, municipal utility liens, or mechanic’s liens may remain. Always conduct a title search to identify these obligations.
  3. Can I inspect the property before bidding?
    You can perform an exterior inspection, but you cannot enter the property without permission. Use county GIS maps and appraisal data to supplement your inspection.
  4. What happens if the property is occupied?
    The purchaser gains immediate possession upon receiving the deed. However, if the property is occupied, you may lease it back to the occupant or pursue eviction through proper legal channels.

Can I finance my purchase?
Most counties require payment in full at the time of sale. Some investors use private funds or lines of credit to finance purchases, but this must be arranged before the auction.

Need a hand?

Somervell County auction listings await in our Auction Calendar. Consult our free resources to guide your decisions. If you want a more guided approach, you’re welcome to book a call and we’ll walk you through the process side by side.

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