But in most cases it isn't. Get tired of these stories with outrage inducing headlines like "Veteran loses house over tax debt" which on the surface seem like a total travesty until you read 5 paragraphs down where it turns out that they haven't paid taxes in 4 years all the while the government sent multiple notices and even did personal service notifying them of the arrears. They continued to blow it off and only after the new owner comes to the door, treasurer's deed in hand, do they decide to act and go crying to the newspapers.
Truth is:
- In no state can one take possession of a piece property immediately after the original tax sale. There is always some sort of redemption period before title to the property is transferred. For example in Colorado it's 3 years and in Alabama it's virtually unlimited unless certain strict requirements are met by tax certificate purchasers. In other words they have years to make it right.
- All states have property tax abatement programs for certain groups (elderly, disabled, veterans, etc.) which can help lower property taxes and stave off a tax lien. In some states there are programs to help property owners redeem after a tax sale.
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