How to Buy Property in Island County, Washington Through Tax Sales

If you’re looking for a way to buy property below market value, Island County’s tax deed sales might be worth a look. Properties with unpaid taxes for three years are foreclosed and sold at auction. This gives investors a real chance to pick up land or homes for much less than usual.

Let’s break down how it works and why it could be a smart move.

Tax Sales in Washington State: A Quick Overview

Washington is a tax deed state. This means when taxes go unpaid, counties eventually sell the property (not just the lien) at public auction. The winning bidder gets full ownership, though it’s sold “as-is,” and it’s up to you to clear any issues with the title.

Washington doesn’t offer tax lien certificates, only tax deed sales.

Important Island County Tax Sale Info

Detail	Information
Tax Sale Type	Tax Deed Sale
Sale Timing	Usually held in December
Redemption Period	None (Tax deed sales = immediate ownership)
Interest Rate	Not applicable (you buy the deed, not a lien)
Bid Procedure	Online at Bid4Assets
Deposit	$1,000 refundable + $35 processing fee
Registration	Must register on Bid4Assets before auction
Payment Terms	Payment due within 24 hours via wire transfer
County Treasurer Info	Island County Treasurer’s Office
County Website	IslandCountyWA.gov

How the Island County Auction Works

• Properties go to auction after 3 years of unpaid taxes.
• A Certificate of Delinquency is filed, and notices are sent to all interested parties.
• The county lists the properties in a public notice and online before the sale.
• The online auction is hosted on Bid4Assets.
• You must register, pay a deposit, and follow strict payment rules.
• If you win a property, the county gives you a Tax Deed (not a warranty deed).
• Properties are sold as-is. You’re responsible for checking for other liens.

For mobile homes or business equipment, a separate Distraint Sale may be held in person with different rules.

Why Consider Island County for Tax Deed Investing?

Island County offers a steady market with long-term appeal. Here’s why:

• The area has a high rate of owner-occupied homes, which supports rental stability.
• There’s been consistent income growth, pointing to a healthy local economy.
• Homes are often well-maintained, and there’s strong demand from retirees and seasonal residents.
• You’re investing in a low-risk location with relatively stable property values.

Fun Facts About Island County and Washington State

• Island County includes Whidbey and Camano Islands—beautiful, scenic areas just north of Seattle.
• Washington has no state income tax, which can make it attractive for investors.
• Island County was one of the original counties when Washington was still a territory, founded in 1852.
• The region’s economy is supported by tourism, agriculture, naval bases, and tech commuters.

Attractions and Economic Highlights

Things to See & Do:

• Parks, beaches, and nature reserves are everywhere.
• You’ll find charming towns, art galleries, farmers’ markets, and waterfront dining.
• Historical sites and military heritage are big in this region.

Transportation:

• Easy ferry access to the mainland
• Highways connect to major cities like Seattle
• Local airports support light air traffic

Economic Growth Areas:

• Tourism and hospitality
• Agriculture and artisan food
• Defence and public sector jobs
• Some spillover growth from the tech industry nearby

Community Lifestyle:

• Peaceful island living with access to outdoor activities like hiking, boating, and birdwatching.
• Retiree-friendly communities with cultural events and markets

What Makes Washington Tax Deed Sales a Smart Investment?

High Returns with Lower Risk

You buy properties outright, not just the debt. That means no waiting for redemption. It’s a more direct path to ownership compared to tax lien states.

Maximum Return Potential

Some properties go for far below market value, depending on the competition. You won’t always get a deal, but when you do, it can be a big one.

Open to All Investors

Anyone can participate—even out-of-state or international buyers—as long as they register and meet the payment deadlines.

Step-by-Step Auction Process in Island County

1. Watch the auction calendar on Island County’s Tax Sale Page.
2. Register early on Bid4Assets.
3. Pay the $1,000 deposit + $35 fee.
4. Review the minimum bid list published in November.
5. Do your property research—check for liens, location, and land use.
6. Bid online during the auction period.
7. If you win, wire the full payment within 24 hours.
8. You’ll get a Tax Deed within about 60 days.

Over-the-counter (OTC) Properties

If properties don’t sell at auction, they may become tax-title properties. You can contact the Treasurer’s Office to learn about possible private sales or future auctions.

Benefits of OTC purchases:

• No bidding wars
• Fixed price
• Direct negotiation

Do Your Homework: Why Due Diligence Matters

Before bidding, research the property:

• Visit the property if possible (from the street only).
• Check public records for liens or zoning issues.
• Know the neighborhood.

Skipping this step could cost you big. The county won’t refund you for buyer’s remorse.

Final Thoughts: Why Island County is a Top Spot for Investors

Island County offers a rare combo: beautiful surroundings, stable housing demand, and a clear tax deed process. With online auctions, anyone with internet access and a plan can jump in.

It’s not risk-free, but with smart research, you can find real opportunities here.

Pro Tips for Tax Sale Investing

• Always read the auction terms carefully.
• Set your budget and stick to it.
• Don’t skip the title research.
• Visit properties (from public roads only).
• Have funds ready to wire quickly after winning.

FAQs – Island County Tax Sales

Q: Can I get a refund if I change my mind?
No. All sales are final. Do your homework.

Q: Are there liens on these properties?
Sometimes. The county clears taxes but not always other liens.

Q: Can I go see the property?
Yes, but only from public roads. Do not enter private land.

Q: How do I find out what’s available?
Visit the Island County Real Property Page before the auction.

Useful Links

• Island County Treasurer
• Bidding Process – Island County
• Island County Property Info
• Island County Foreclosure Details
• Island County Auctions on Bid4Assets
• Investing in Washington Tax Sales
• 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 Ready for the Next Auction

Check our auction calendar to find upcoming tax sales. Opportunities like these don’t last long! If you’re new to tax sales or have questions, book a call with an expert today. You can also explore our free resources for tips on making smart investment choices.

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About Dustin Hahn

Dustin Hahn is a Tax Lien & Deed investor with over 22 years of experience and hundreds of deals under his belt. He created Tax Lien School.com to help you buy Tax Deeds up to 90% off mortgage free and earn up to 36% ROI with Tax Liens. This site was voted the “Most Useful Resource” for new investors. Dustin’s YouTube Channel is the #1 Channel on Tax Liens & Deeds with over 98,000 Subscribers and 3600 videos to help you start. “The Best Time To Start Real Estate Investing Was 20 Years Ago, The Second Best Time Is TODAY!”

20+yrs

5–10deals/mo

2009TLS founded