How James City, Virginia, Conducts Tax Sales

What is a Tax Sale?

When property owners fail to pay real estate taxes, James City County holds tax sales to recover unpaid amounts. These public auctions allow bidders to purchase tax-delinquent properties at competitive prices.

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

How the Tax Sale Process Works

Tax Bills and Delinquency

• Property owners must pay real estate taxes on June 5th and December 5th each year.
• Late payments add penalties and interest, increasing the total debt.
• The Treasurer’s Office sends multiple notices reminding owners to pay overdue taxes.

Legal Action Begins

• The county partners with Taxing Authority Consulting Services (TACS) to manage collections and tax sales.
• If taxes remain unpaid for an extended period, the county starts legal proceedings to collect the debt.
• Property owners receive a final notice before the county prepares the property for auction.

Public Notice and Auction Listings

• James City County announces tax sales online and in local newspapers.
• The auction listing includes property details, outstanding tax amounts, and bidding rules.
• Interested buyers can review properties in advance and perform due diligence.

Auction Registration

• Bidders must register before participating in the tax sale.
• Registration requires a valid ID and a deposit to secure bidding rights.
• Some auctions take place online, while others require in-person attendance.

Bidding and Winning the Property

• The auction starts with an opening bid, usually based on the tax amount owed.
• Bidders compete until the highest bid wins the property.
• The winning bidder must immediately pay a deposit, typically 25% of the purchase price or $1,000, whichever is greater.

Final Payment and Court Approval

• The winning bidder must pay the remaining balance within the required deadline.
• The county submits the sale to the court for approval.
• Once the court approves the sale and all payments are complete, the buyer receives a deed to the property.

Things to Know Before Bidding

Redemption Rights

• The original owner can reclaim the property before the court finalizes the sale.
• To redeem, they must pay all past-due taxes, penalties, and auction costs.

No Back Taxes for Buyers

• Buyers do not inherit unpaid taxes from previous owners.
• The county clears any existing tax debts using the sale proceeds.

Properties Sold As-Is

• The county does not guarantee the condition of the property.
• Buyers must conduct research before placing a bid.

Payment Requirements

• Winning bidders must meet all payment deadlines.
• Missing a deadline results in losing the deposit and the property being resold.

How to Get Involved

Stay Informed

• Sign up for James City County tax sale notifications.
• Visit the county’s website and TACS for auction updates.

Research Before Bidding

• Review property records, location details, and legal status.
• Consult a real estate professional if needed.

Attend Tax Sale Information Sessions

• Some auctions offer informational sessions for first-time bidders.
• Attending these sessions helps you understand the process and bidding rules.

Prepare for Payment

• Ensure you have the necessary funds before bidding.
• Accepted payment methods may include cashier’s check, money order, or electronic transfer.

Understand Legal Responsibilities

• Buyers may need to handle evictions if the property is occupied.
• Consulting an attorney helps avoid unexpected legal issues.

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! 

Get Started Today!

Check out our auction calendar to invest in tax sale properties! If you have questions, book a call with us or explore our free resources for helpful tips on making smart investment decisions.

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