LaRue County sits in central Kentucky, with Hodgenville as the county seat. It is best known as the birthplace of Abraham Lincoln. For investors, the county matters because Kentucky sells delinquent real property taxes as tax lien certificates, called certificates of delinquency, through the county clerk. This guide explains how LaRue County tax sales work, what the recent notice showed, how registration and bidding work, and what steps investors should take before buying.

What is LaRue County’s tax lien investing system?

LaRue County follows Kentucky’s certificate of delinquency system. That means the county clerk sells delinquent real property tax bills to approved buyers instead of selling the real estate itself at this stage. The buyer gets a lien position tied to the unpaid taxes, not immediate ownership of the property. In LaRue County, the official clerk page lists delinquent taxes and posts the annual in person sale notice.

Important Details

Detail	Summary
Tax Sale Type	Tax lien certificates, called certificates of delinquency
Typical Sale Date	Usually mid to late August in LaRue County
Auction Time	Recent LaRue notice listed 9:00 AM Eastern Time
Location	LaRue County Courthouse, small courtroom, in person
Registration Required	Yes
Registration Start	When annual notice and tax list are posted, at least 30 days before sale
Registration End	County deadline controls. Recent LaRue deadline was August 8 for August 19 sale
Redemption Period	No short fixed deed style period. Owner can pay until foreclosure ends the matter
Interest Rate	1% per month after purchase, equal to 12% simple annual interest
Bid Procedure	Random draw, then buyers choose from pre submitted lists in rounds
Deposit	100% for priority claims, 25% for current year list
Registration Fee	County fee up to $250 yearly. Recent LaRue notice listed $250
Main Contact	Rhonda Metcalf, LaRue County Clerk, [email protected]

Fun Facts About the County

• LaRue County was created in 1843 and Hodgenville is the county seat.
• Abraham Lincoln was born in what is now LaRue County.
• The county’s population was estimated at about 15,184 in 2025.
• Agriculture remains a big part of the local economy. Recent county agriculture materials reported more than $60 million in production.

Attractions & Economic Highlights

• Abraham Lincoln Birthplace National Historical Park is the county’s best known historic site.
• Main travel access includes Lincoln Parkway, US 31E, US 31W, and nearby I 65 connections.
• Agriculture is a leading local industry, with schools and regional commuting also shaping the economy.
• Outdoor time, local festivals, and Lincoln themed tourism add to the county’s appeal.

Why This County is Ideal for Tax Lien Investors

• Kentucky tax lien certificates can produce high returns because the lien accrues 1% per month after purchase.
• LaRue County posts its sale through the county clerk, which gives investors a clear county level source to monitor.
• The county is small enough to research by hand, which can help reduce mistakes. This is a low risk investment only when due diligence is strong. That part is the real edge.
• Kentucky also allows unsold certificates to be bought after the sale, which can help investors who miss auction day.

Auction Process for Tax Lien Sales

LaRue County runs an in person county clerk sale for certificates of delinquency. The recent county notice set the sale at the courthouse at 9:00 AM Eastern. Registration is not optional. Buyers must submit the county form, the required lists, fees, and deposits by the posted deadline. State rules say the clerk posts the sale details and tax list at least 30 days before the sale.

Kentucky does not use an interest bid down format for these county clerk sales. The interest on the certificate is set by law after purchase. The sale works more like a selection process among registered buyers. Priority claims are handled first. Then the rest of the certificates are chosen through rounds after a random drawing decides order.

How the Auction Works

Maximum Potential Returns and Expected Returns on LaRue County Tax Lien Certificates

For LaRue County tax lien certificates, the stated return is tied to Kentucky law, not bidding pressure. After purchase, the certificate accrues simple interest at 1% per month, or 12% per year, and certain added fees may also be recoverable under state rules.

Expected returns depend on how fast the owner redeems, whether notices are handled correctly, and whether the certificate ever moves into foreclosure. The highest real world outcomes usually come when a lien redeems with interest and allowed costs, or when enforcement is done correctly after the waiting period. The main limit is time, paperwork, and property quality.

Open to All Investors and Foreign Investor Participation

Kentucky’s rules focus on registration, deadlines, and payment requirements. The rules do not say that only local LaRue County residents may buy. In practice, that means out of county and out of state investors can join if they meet the state and county registration rules.

The same reading suggests foreign investors may also participate, because the system is based on purchaser registration rather than local residency. That said, foreign buyers should confirm entity structure, tax reporting, payment method, and legal service needs before bidding. That is an inference from the registration framework, not a separate county rule posted by LaRue County.

Importance of Due Diligence in LaRue County Tax Lien Investing

What Due Diligence Entails

• Check the parcel, owner name, and tax amount on the county list.
• Review PVA and map data before you register your target certificates.
• Drive by the property or get fresh photos. Rural parcels can fool online buyers.
• Check access, flood issues, use limits, and occupancy risk.
• Know that you are buying a lien, not the house itself.

Risks of Skipping Due Diligence

• You may tie up money in weak parcels with little resale value.
• You may miss notice steps that affect fees or enforcement rights.
• You may assume you can take possession right away, which is wrong in a lien state.
• You may spend legal fees on a certificate that never fits your exit plan.

Buying Over the Counter Liens in LaRue County

How to Purchase OTC Liens

Kentucky allows any remaining certificates of delinquency to be bought after the tax sale. State guidance says that once the county sale is complete, unsold certificates may be purchased at any time by any qualified third party purchaser, subject to continuing registration rules and county fees. In plain terms, if LaRue County has leftovers after sale day, those can work like over the counter liens.

Benefits of OTC Purchases

OTC style purchases remove the pressure of sale day. You can review the list more calmly and avoid fighting for the same small group of certificates. The tradeoff is simple. The best liens may already be gone.

Why LaRue County is a Top Choice for Tax Lien Investors

Economic and Tax Advantages

• Central Kentucky location gives easy road access to research trips.
• Agriculture and regional commuting support the local economy.
• Kentucky’s tax lien system gives a known statutory return instead of a bid down yield.

Real Estate Market Overview

LaRue County is a smaller rural market. That can help investors who prefer a manageable list over a huge metro auction. It also means property level research matters more. A good lien on a useful parcel can be solid. A bad lien on a weak parcel can sit for a long time. In counties like LaRue, the buyer who researches better often does better.

Conclusion

LaRue County, Kentucky is a county clerk tax lien market, not a county tax deed market. The sale is usually held in the late summer window used across Kentucky, and recent official dates for LaRue fell in mid August. The recent county notice also showed an in person courthouse sale at 9:00 AM Eastern with advance registration, fees, and deposits required.

The real appeal is the structure. Buyers get a certificate of delinquency with 1% monthly simple interest after purchase, plus a path to collection or foreclosure if the lien is not paid and the legal waiting period has passed. Still, smart investing here means doing full research before you register targets. Good paperwork and good property review matter just as much as the return.

Pro Tips

• Focus first on parcels you can inspect fast from Hodgenville and the main road corridors. It saves time on rural research trips.
• Build your certificate list early. LaRue uses pre submitted lists, so last minute ideas do not help much.
• Watch the clerk page close to sale day. Owners can still pay before the auction starts.
• Treat small county liens like a paperwork game. Clean notice work protects interest and fee rights.
• Check whether leftovers remain after the sale. In Kentucky, unsold certificates can still be bought later.

FAQs for LaRue County Tax Liens

Useful Links

• Kentucky Tax Lien Sales: Investing in High-Interest Tax Liens
• Tax Lien Certificates Explained: A Comprehensive Overview
• Step-by-Step Guide to Beginner Tax Lien Investing

Need a Hand?

If you want help sorting through LaRue County liens, building a due diligence checklist, or setting up a better bidding plan, there are free resources that can help. You can also check the Auction Calendar for new sale updates and book a call if you want one on one help with your next county

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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

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