How Campbell County, Virginia, Conducts Tax Sales

Campbell County, Virginia, holds tax sales when property owners fail to pay their real estate taxes. These sales allow the county to recover unpaid taxes while giving buyers a chance to purchase properties at public auctions.

Check the auction calendar for scheduled tax sales.

Understanding Campbell County’s Tax Sale Process

The county follows a legal process to handle delinquent tax properties. It identifies unpaid properties, notifies owners, files a court case, and conducts an auction where bidders compete for properties.

Here’s a step-by-step breakdown of the tax sale process:

1. Identifying Delinquent Properties – The Treasurer selects properties with unpaid taxes.
2. Notifying Owners – The county warns owners about the pending tax sale.
3. Legal Action – The county takes the case to court to approve the sale.
4. Public Auction Announcement – The county advertises the auction details.
5. Bidding & Auction Process – Buyers place bids, and the highest bidder wins.
6. Payment & Confirmation – The buyer must complete payment before ownership transfers.
7. Sale Proceeds Distribution – The county distributes funds to settle debts.
8. Ownership Transfer – The buyer receives the deed and assumes responsibility for the property.

1. Identifying Delinquent Properties

The Treasurer reviews tax records to find properties with unpaid taxes for multiple years.

• Owners receive notices reminding them to pay their overdue taxes.
• The county allows owners to set up payment plans to avoid the sale.
• If taxes remain unpaid, the county moves forward with the sale process.
• The county considers tax sale eligibility based on the length of delinquency and total amount owed.

2. Notifying Property Owners

The county ensures property owners receive multiple warnings before their property is auctioned.

• Certified Mail Notice – Campbell County sends legal notices to property owners.
• Public Announcement – The county publishes a list of properties online and in local newspapers.
• Final Notice – The last warning includes the auction date, location, and bidding process.
• Owner Rights – Owners can pay the full amount, including penalties, to stop the sale.

3. Legal Process Before the Sale

If property owners do not pay, the county takes legal action to approve the sale.

• The county files a lawsuit to obtain court approval for the auction.
• A judge appoints a special commissioner to oversee the sale process.
• The court ensures that all owners and lienholders receive notice of the pending sale.
• Owners who want to stop the sale must pay all taxes, fees, and court costs or dispute the case in court.
• If the judge approves the sale, the county includes the property in the upcoming auction.

4. Public Auction Announcement

Campbell County makes auction details available to the public.

• Legal Advertisements – The county posts auction notices in local newspapers and online.
• Property Information – The public can review details and inspect properties before the sale.
• Auction Date & Bidding Instructions – The county outlines the bidding rules and participation steps.
• Auction Format – The sale may take place in-person at the courthouse or online.

5. Bidding and Auction Process

Buyers must meet auction requirements before participating.

• Pre-Registration – Bidders must register and may need to submit a deposit.
• Open Bidding System – The auction follows a competitive bidding format.
• Auctioneer’s Role – The auctioneer announces each property before bidding starts.
• Minimum Bid Requirement – Some properties have minimum bids to cover unpaid taxes and sale costs.
• Court Approval – If bids do not meet requirements, the court may reject the sale.
• Winning Bid Confirmation – The auctioneer confirms the highest bid and explains the next steps.

6. Payment and Confirmation

Winning bidders must complete the payment within the specified timeframe.

• Accepted Payment Methods – The county allows cashier’s checks, money orders, or wire transfers.
• No Personal Checks or Cash – Campbell County does not accept these payment methods.
• Court Hearing for Approval – The court schedules a hearing to confirm the transaction.
• Final Payment Required – Buyers must complete the full payment before receiving ownership rights.
• Non-Payment Consequences – If the highest bidder does not pay, the county may re-auction the property or offer it to the next highest bidder.
• Loss of Deposit – Buyers who fail to meet payment deadlines lose their deposit and bidding privileges.

7. Distributing the Sale Proceeds

The county uses funds from the auction to settle debts in the following order:

1. Court & Legal Fees – Covers attorney costs, administrative expenses, and court fees.
2. Unpaid Real Estate Taxes – Pays off delinquent property taxes owed to the county.
3. Remaining Funds – Goes to lienholders or the original property owner.
4. Unclaimed Money – If no one claims the extra funds, it transfers to the state treasury after a set time.
5. Sale Summary – The county provides a detailed breakdown of how funds are distributed after finalizing the sale.

8. Transferring Ownership

After court approval, the special commissioner completes the deed transfer to the buyer.

• New Owner’s Responsibility – Buyers take full responsibility for the property as-is.
• Title Clearance – Buyers should verify any outstanding liens or legal claims.
• Recommended Legal Assistance – Buyers should consult a real estate attorney or title company.
• Potential Liens – Some properties may have existing debts beyond unpaid taxes.
• Additional Property Costs – Some properties may have unpaid utility bills or code violations.
• Title Insurance – Buyers may want to purchase title insurance to protect against unexpected claims.

Important Considerations

Before bidding, buyers must understand these key points:

• All Sales Are Final – Once a bid is accepted, the buyer must complete the purchase.
• Properties Are Sold As-Is – Campbell County does not inspect or repair properties before the sale.
• Some Properties Have Additional Liens – Buyers should research the title history before purchasing.
• Failure to Pay Has Consequences – If a bidder fails to pay, the property returns to auction, and the bidder loses any deposit.
• Title Clearance is the Buyer’s Responsibility – Buyers should investigate legal claims or unpaid debts before finalizing the purchase.
• Redemption Rights May Apply – Some properties allow previous owners to reclaim them within a certain period if they pay off their debt.
• Additional Costs – Buyers should review the auction terms carefully for buyer premiums and extra fees.

Useful Links & Resources

• Learn How to Profit from Virginia Real Estate Auctions 
• Let’s talk about Tax Deeds and how you can profit from them!
• Discover Tax Deeds and how you can find property for as little as $50! 

Check the Auction calendar and don’t miss your chance to participate in Campbell County’s next tax sale. If you have questions or need expert guidance, book a consultation or explore our free resources to make informed investment decisions

Sign up or log in to view the full content.