redumption rights

I have heard about redumption rates or redumption rights
(not sure which one is correct)
What is it?
Thanks a lot! :slight_smile:

Howdy Yelena:

Actuallyit is redemption rights. It is the period of time after a tax foreclosure sale ( some mortgages too in some states ) where the owner has the right to reclaim their property by paying the purchaser the money they paid plus the statutory rate of interest. Here in Texas for example on investment property the time is six months and the rate is 25%. For owner occupied property it is 2 years and 25% per year or any part thereof.

Hope this helps

thanks a lot!
If you have a possibility, could you please advise me some articles about the redemption rights. Or books…
Thanks a lot!

Thanks a lot, again, tedjr. Here is what I wanted to ask also, where would you go to ask if there is such thing in my State, (I live in Idaho) as bying at redumption rights (I am not sure if I say it correct, or to buy redumption rights.)
I asked in the courthose, tax assessors office, tax recorders office and even Tax commision of Idaho, if they sell tax lien certificates, they said they never even hear about it.
So, is redumption right is the same as tax lien sertificates?
and where would I go to ask about them?
thank you so much!

Howdy Yelena:

You are a bit confused still I can see from your questions. Your county tax collector will be able to help. Here in Travis County we have a web site that explains the process where I learned most of what I know. Texas may be different than Idaho in how the collection of defaulted taxes.

Texas has property sales where the actual property is sold except for the right to redeem the property ( owner has the right to buy it back from purchaser). After the tax sale if the buyer can find the previous owner he can get the deed from that owner and thus actually buy the redemption rights. Also any other person can contact the previous owner and get the deed and in effect can buy the redempton rights to the property if they have not expired.

Tax certificates are a bit different and I have had no experience with them. It is where the County sells certificates instead of the property and the owner also has similar redemption rights.

I believe this to be the best author/teacher on the subject and you should buy it or borrow it before doing anything else

Hope this helps

thanks a lot!


Sounds like your looking into Tax Lien Certificates. However, I believe that Idaho is a Tax Deed state which is a little different.