Short answer

Yes, if your Georgia property was sold at a tax sale, you—the former owner—can sell your right of redemption to someone else before it expires. This right can be valuable, but it comes with strict deadlines and requirements.

Why it matters

Losing property at a tax sale is stressful, but the right of redemption gives you a second chance. This right lets you—or anyone with a legal interest—reclaim the property by paying the redemption price. If you do not want to redeem yourself, you can sell your right of redemption to another party, often through a quitclaim deed. This can help you recover some value from the property, even if you cannot pay the redemption price yourself.

Key reasons this matters:

  • Financial recovery: Selling your right of redemption may allow you to receive money for a property you lost at tax sale.
  • Time-sensitive: The right lasts only for a limited period—12 months from the sale, and sometimes longer if the right to redeem has not been foreclosed by notice.
  • Complex rules: The process is technical, and mistakes can mean losing your right or not getting paid.
  • Liens survive: If you redeem (or sell the right to redeem), any mortgage or lien that existed at the time of the tax sale comes back with the property.

Steps

If you are considering selling your right of redemption after a Georgia tax sale, here is what the process typically involves:

Confirm the type of sale and your right: Make sure the property was sold at a Georgia tax sale (not a mortgage foreclosure). Review the tax deed and any notices to confirm you still have the right of redemption. Some counties use a judicial in rem tax foreclosure, where the right to redeem lasts only 60 days from the sale. The paperwork from the sale will state which type applies.

Understand who may redeem: The former owner, or anyone with any right, title, or interest in or lien upon the property, may redeem. You can sell your right of redemption by quitclaim deed to a buyer, who may then redeem the property.

Calculate the redemption price: The redemption price is: The amount paid at the tax sale Plus any taxes and special assessments paid by the purchaser after the sale Plus a premium of 20 percent of that total for the first year or fraction of a year after the sale Plus 10 percent for each year or fraction of a year after that If redemption is made more than 30 days after a notice of foreclosure of the right to redeem, add the sheriff’s cost of serving and publishing the notice The premium is not interest and is paid in full to the purchaser in certified funds.

Check the timing: The property may be redeemed at any time within 12 months of the tax sale, and after that until the right to redeem is foreclosed by notice (also called a barment notice). After 12 months, the tax deed purchaser may serve a notice of foreclosure of the right to redeem through the sheriff, setting a date at least 45 days after the notice is given.

Negotiate the sale: Find a buyer interested in acquiring your right of redemption. This could be an investor or, in some cases, the tax deed purchaser. The value of your right depends on the equity above the redemption price, the liens that survive, the property’s condition, and how much time is left.

Document the sale: Use a quitclaim deed to transfer your right of redemption to the buyer. Make sure the deed is properly drafted and delivered, and that you are paid before the redemption deadline.

Redemption process: The buyer of your right of redemption may redeem the property by paying the full redemption price to the tax deed purchaser in certified funds. Upon redemption, the purchaser must sign a quitclaim deed returning title to the redeemer. Any liens that existed at the time of the tax sale survive redemption.

Other considerations: If no one redeems and the right is foreclosed, the purchaser’s title becomes absolute. A recorded tax deed also ripens by prescription four years after it is recorded. Excess funds (the amount bid above taxes, costs, and interest owed) are a separate claim with the official who held the sale, held for five years and then sent to the state as unclaimed property.

Example

Suppose your property in Georgia was sold at a tax sale for $50,000. You still hold the right of redemption. The tax deed purchaser paid another $2,000 in property taxes after the sale. It has been 10 months since the sale.

  • The redemption price is:
    • $50,000 (sale price)
      • $2,000 (taxes paid after sale)
    • = $52,000
      • 20 percent premium ($10,400)
    • = $62,400 total redemption price

You decide not to redeem, but you find an investor willing to buy your right of redemption. You sign a quitclaim deed transferring your right to the investor, and the investor pays you an agreed amount. The investor then redeems the property by paying $62,400 in certified funds to the tax deed purchaser. The purchaser signs a quitclaim deed back to the investor. Any mortgage or lien that existed at the time of the tax sale is still attached to the property after redemption.

Key Point: If you sell your right of redemption, make sure the quitclaim deed is properly prepared and delivered, and that you are paid before the redemption deadline.

Common pitfalls

  • Missing the deadline: Waiting too long can mean losing your right of redemption entirely, especially after 12 months or after a notice of foreclosure of the right to redeem is served.
  • Confusing tax sale with mortgage foreclosure: The rules for tax sales are different from mortgage foreclosures. This page is about tax sales only.
  • Not understanding the redemption price: The premium is 20 percent for the first year or fraction, and 10 percent for each year or fraction after that. Failing to calculate this correctly can lead to shortfalls or disputes.
  • Partial payments: The redemption price must be paid in full, in certified funds. Partial payments do not count.
  • Improper paperwork: If the quitclaim deed is not properly prepared or delivered, the sale of your right of redemption may not be effective.
  • Ignoring liens: Any mortgage or lien that existed at the time of the tax sale comes back with the property after redemption.
  • Assuming the right lasts forever: The right of redemption is strictly limited by law. After the right is foreclosed, the purchaser’s title becomes absolute.

Summary

  • The right of redemption after a Georgia tax sale can be sold by the former owner using a quitclaim deed.
  • The right lasts for 12 months after the sale, and sometimes longer until a notice of foreclosure of the right to redeem is served.
  • The redemption price includes the sale price, taxes paid after the sale, special assessments, and a 20 percent premium for the first year (10 percent for each year after).
  • Upon redemption, the purchaser signs a quitclaim deed back to the redeemer, and any liens from the time of the tax sale survive.
  • If you are considering selling your right of redemption, review your tax deed and notices, calculate the redemption price, and ensure the paperwork is correct and you are paid before the deadline. This page is general information and does not create an attorney-client relationship.

Important information

Attorney advertising. Responsible attorney: Christian Cruz, Esq., Georgia Bar Number 238836. Office: CRUZ LAW FIRM, 160 W Camino Real, 589, Boca Raton, FL, 33432.

This page is general information about Georgia law, not legal advice. Reading it does not create an attorney-client relationship, and no such relationship is formed until we have a signed written agreement.

Fee arrangements depend on the posture of the matter and are set out in a written agreement before any work begins. We are glad to explain how fees would work in your situation when we speak.

FAQ

What is the right of redemption after a Georgia tax sale?

It is the legal right of the former owner (and others with an interest in the property) to reclaim property sold at a Georgia tax sale by paying the redemption price within a limited time.

How long does the right of redemption last in Georgia?

The right lasts for 12 months after the tax sale, and after that until the right is foreclosed by notice. In judicial in rem tax foreclosures, the right lasts 60 days from the sale.

Can I sell my right of redemption to someone else?

Yes, you can sell your right of redemption by quitclaim deed to a buyer, who may then redeem the property.

What is included in the redemption price?

The redemption price is the amount paid at the tax sale, plus taxes and special assessments paid by the purchaser after the sale, plus a premium of 20 percent for the first year or fraction, and 10 percent for each year or fraction after that.

What happens to liens if the property is redeemed?

Any mortgage or lien that existed at the time of the tax sale survives redemption and remains attached to the property.