California
CA
The investor buys the property itself at sale. No redemption period usually follows, so title transfers directly.
Sale type
Tax deed
Redemption
None
Interest / penalty
Penalty · 1.5%
Sale timing
Varies
Rules in plain English
Sale type
Tax deed
The investor buys the property itself at sale. No redemption period usually follows, so title transfers directly.
Cal. Rev. & Tax. Code 3691
“the tax collector shall have the power to sell and shall attempt to sell in accordance with Section 3692 all or any portion of tax-defaulted property that has not been redeemed”official source ↗
Redemption period
None
No redemption period is documented after the sale.
Cal. Rev. & Tax. Code 3707
“The right of redemption terminates at the close of business on the last business day prior to the commencement date of the tax sale.”official source ↗
Interest / penalty
Penalty · 1.5%
1.5% penalty per month.
Cal. Rev. & Tax. Code 4103
“on the declared amount of defaulted taxes at the rate of 1 1 / 2 percent a month to the time of redemption”official source ↗
Bid method
Highest bid
The parcel or lien goes to the highest bidder at auction.
Cal. Rev. & Tax. Code 3693
“all sales pursuant to this chapter shall be at public auction to the highest bidder”official source ↗
Sale schedule
Varies
Sale timing varies by county.
Cal. Rev. & Tax. Code 3692
“The tax collector shall attempt to sell tax-defaulted property, as provided in this chapter, within four years of the time that the property becomes subject to sale for nonpayment of taxes”official source ↗
Bidder process
- 01Find the parcel on the county's notice of intended sale: the tax collector may sell tax-defaulted property that has not been redeemed five years or more after it became tax-defaulted, or three years or more for nonresidential commercial property, and any sale must be approved by the board of supervisors (3691(a)(1)(A), 3694)
- 02Bid at the public auction to the highest bidder; the auction may be conducted in person or by electronic media, including the Internet (3692.2, 3693(a), 3706)
- 03Bid at or above the minimum price approved by the board of supervisors; no bid below that price may be accepted (3706)
- 04Pay the amount of the high bid by a method the tax collector elects among legal tender, electronic funds transfer, and negotiable paper (checks, drafts, and money orders); unless the tax collector specifies otherwise, payment is due on or before the close of auction (2502, 2503.2, 2504, 3693(a))
- 05If the tax collector required a deposit as a condition to bidding, pay it by the noticed method, amount, and due date; in a deferred-payment sale the deposit is $5,000 or 10 percent of the minimum bid price, whichever is greater, and the balance is due within the period the tax collector sets, not more than 90 days after the close of auction (3693(d), 3693.1)
- 06Consummate the sale: failure to pay within the period the tax collector specified results in forfeiture of the deposit and of all rights in the property, and the right of redemption revives (3693.1)
- 07Sealed bid sales are used only when a parcel is offered at minimum bid to holders of outstanding oil, gas, or mineral interests or to owners of contiguous parcels for parcels rendered unusable, and the property then goes to the highest eligible bidder (3692(b)-(d))
- Registration
- Not documented
- Registration mode
- Not documented
- Registration deadline
- Not documented
- Registration fee
- Not documented
- Deposit required
- Not documented
- Deposit amount
- 5000
- Deposit percent
- 10%
- Deposit refundable
- Not documented
- Sale format
- hybrid
- Payment deadline
- due on or before the close of auction unless the tax collector specifies otherwise (3693(a)); in a deferred-payment sale the balance is due within the period the tax collector sets, not more than 90 days after the close of auction (3693.1)
- Payment methods
- cash, check, ach
- Residency required
- Not documented
- A deposit may be required as a condition to submitting a bid (3693(d)(4)(A))
- Any person, regardless of any prior or existing lien on, claim to, or interest in, the property, may purchase at the sale (3691(a)(1)(A))
- A city, the State, or any taxing agency or revenue district may bid on property (3705)
Cal. Rev. & Tax. Code 3691(a)(1)(A)
“Any person, regardless of any prior or existing lien on, claim to, or interest in, the property, may purchase at the sale.”official source ↗
Cal. Rev. & Tax. Code 3692.2
“A public auction conducted by electronic media, including the Internet, to sell property under this chapter shall have at least the following operational components: (a) A component that allows bids to be submitted by computer.”official source ↗
Cal. Rev. & Tax. Code 3693(a)
“With the exception of the sealed bid sale procedures authorized under Section 3692 and of the procedures authorized in subdivisions (b) and (c), all sales pursuant to this chapter shall be at public auction to the highest bidder. The amount of the high bid shall be paid by any method of payment authorized by Section 2502, 2503.2, or 2504, which method is at the discretion of the tax collector. Unless otherwise specified by the tax collector, payment is due on or before the close of auction.”official source ↗
Cal. Rev. & Tax. Code 3693(d)
“The tax collector may require a person to submit a deposit, by any method of payment authorized by Section 2502, 2503.2, or 2504, for the purposes specified in this subdivision. A tax collector requiring a deposit pursuant to Section 3693.1 may determine, and shall provide public notice before the date of the sale upon determining, all of the following: (1) The method of payment of this deposit. (2) The amount of this deposit. (3) The due date of this deposit. (4) Whether the deposit will be applied for one or more of the following purposes: (A) As a condition to submitting a bid on property that is being sold under this chapter.”official source ↗
Cal. Rev. & Tax. Code 3693.1
“If the tax collector approves the sale as a deferred-payment transaction, the tax collector may require a deposit in the amount of five thousand dollars ($5,000) or 10 percent of the minimum bid price, whichever is greater. The balance of the purchase price shall be paid by any method of payment authorized by Section 2502, 2503.2, or 2504, as specified by the tax collector and within a period specified by the tax collector not to exceed 90 days from the date of the close of auction as a condition precedent to the transfer of title to the purchaser. If the purchaser was required to pay a deposit prior to the date of the sale, the deposit shall be applied toward the purchase price of the property. Failure on the part of the successful bidder to consummate the sale within the period specified by the tax collector shall result in the forfeiture of the deposit and all rights he or she may have with respect to that property.”official source ↗
Cal. Rev. & Tax. Code 3706
“If the property is not redeemed before the close of business on the last business day prior to the date of the sale of the property, the tax collector shall sell the property at public auction to the highest bidder at the time and place fixed. In the case of a sale at public auction, no bid shall be accepted for a sum less than the minimum price approved in the resolution of the board of supervisors”official source ↗
Cal. Rev. & Tax. Code 3705
“Any city or the State or any taxing agency or revenue district may bid on property.”official source ↗
Cal. Rev. & Tax. Code 2502
“Taxes may be paid in legal tender or in money receivable in payment of taxes by the United States.”official source ↗
Cal. Rev. & Tax. Code 2504
“As used in this division, "negotiable paper" means checks, drafts, and money orders.”official source ↗
Notes
Official CA RTC 4103 confirmed; sale_type/bid per RTC 3691-3707. | Prose: deed | 1.5% per month redemption penalty | none after sale; right of redemption terminates before the sale | highest bidder at public auction | varies by county