What is the difference between a Tax Deed and a Tax Lien Sale?
Essentially, there is no difference. However, a tax lien sale is when a state or county sells the tax lien on the property to the highest bidder at auction. A tax deed is when the government sells full ownership and possession rights of the property. Both are considered investment opportunities. These property listings are put listed in the legal notices and classified sections of newspapers, and are available to the public prior to the sale taking place. Federal Tax Liens (FTLs) Federal tax liens have the same power as state and county property tax liens; only the federal government has priority over the state. The Internal Revenue Service has the power to record a tax lien against real and personal property owned by delinquent taxpayers as security based on income taxes owed. Once the IRS assesses liability for non-payment of income or personal taxes, a Notice of Federal Tax Lien (FTL) is filed against the taxpayer’s property which generates a Notice and Demand for Payment. If the ta
