How Hanover County Conducts Tax Sales: A Simple Guide

Introduction

Hanover County, Virginia, holds tax sales to recover unpaid property taxes by auctioning off tax-delinquent properties. These auctions offer buyers a chance to purchase real estate at competitive prices. Unlike traditional sales, tax auctions follow a strict legal process.

Auction dates change, so always check the Auction Calendar for scheduled auctions.

How the Tax Sale Process Works

Identifying Properties for Auction

• The Treasurer’s Office tracks properties with unpaid real estate taxes.
• If taxes remain unpaid for over two years, the county moves forward with the sale.
• A special commissioner oversees the legal process to ensure compliance with state laws.

Auction Scheduling and Public Notice

• Hanover County holds at least two tax auctions each year.
• The county posts the auction date and property list on its website.
• Notices appear in local newspapers and are mailed to interested parties at least 30 days before the sale.

Auction Location and Access

• Tax sales take place at the Hanover County Circuit Court or Board Room.
• No online bidding is available; all bidders must attend in person.
• Anyone can bid, but registration is required before the auction starts.

How to Register and Bid

Attending the Auction

• Arrive early to review auction rules and property listings.
• Sign in before the auction begins. No prior registration is required.

Bidding Process

• The auctioneer presents each property one at a time.
• Bidders make verbal offers, and the highest bid wins.
• The county does not set a minimum starting bid, but the final bid must be reasonable for court approval.

Auction Guidelines

• The county provides a full list of properties before the auction.
• Some properties may be removed if the owner pays the delinquent taxes before the sale.

Payment and Closing

Deposit on Auction Day

• Winning bidders must pay a 25% deposit immediately after the sale.
• Payment must be made with cash or certified bank funds.
• Personal checks and credit cards are not accepted.

Final Payment and Court Approval

• The remaining 75% balance is due after court confirmation.
• A 10% buyer’s premium is added to the final bid to cover auction costs.
• The Circuit Court reviews the sale before approving the transfer.

Deed Transfer and Ownership

• Once the balance is paid, the county issues a Special Warranty Deed.
• The buyer must record the deed and is responsible for all future property taxes.

Due Diligence and Property Research

Understanding Property Conditions

• All properties sell “as-is, where-is, and if-is.”
• The county does not guarantee property conditions or provide access for inspections.

Checking Public Records

• Buyers can review tax history, assessment data, and property records online.
• It is essential to check for legal restrictions, easements, or outstanding liens.

Inspecting the Property

• Some properties may still be occupied.
• The buyer is responsible for handling evictions if necessary.
• Buyers should research potential legal costs before bidding on occupied properties.

Additional Auction Details

Notifications for Upcoming Sales

• The county updates its auction calendar and property list three weeks before the sale.
• Interested buyers can sign up for email alerts from the Collections Division.

Legal Considerations

• The Circuit Court must approve all tax sales before deeds transfer.
• Buyers should consult an attorney if they have concerns about property ownership or title issues.

Post-Auction Responsibilities

• Buyers must secure their own financing, as full payment is required quickly.
• If a buyer fails to pay the balance, they lose their deposit and may be banned from future auctions.

Useful Links

• 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! 

Hanover County holds tax sales through live public auctions. Buyers must attend in person, register at the auction, and follow all payment deadlines. Since properties sell as-is, researching before bidding is crucial.

Stay updated on future sales—check the Auction Calendar for scheduled auctions.

Call to Action

Don’t miss out on a great investment opportunity. Visit our auction calendar today and explore available properties. If you need help, book a call with an expert or browse our free resources for valuable investment tips.

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