Tax Sale Title Insurance
A tax title sale is the sale or adjudication of a tax sale title to property pursuant to La. R.S. 47:2155 and 2196.
A tax title sale is the sale of properties that have delinquent taxes due and owing the political subdivision. These properties are sold to the public for the amount of delinquent taxes due, plus any accrued interest, penalties, costs and other statutory impositions. If a property is sold at tax sale, the property owner has three years to redeem the property from the purchaser. For properties in Orleans Parish, this redemption period is reduced to 18 months if the property is deemed legally blighted or abandoned. The property owner may redeem the property by paying the tax sale purchaser the purchase price plus a 5% penalty and 1% interest per month from the date of the tax sale until the date it is redeemed. See: La. R.S. 47:2243.
Real estate titles in Louisiana in which ownership in the chain of title is based upon a tax sale are almost impossible to insure in today’s marketplace. Recent court decisions have ruled that tax sales where former owners or other parties with a recorded interest in the tax sale property that prove pre-sale notice to them was constitutionally insufficient are absolutely null and void. Furthermore, courts have ruled that these claimants seeking to annul the tax sale have an unlimited time period in which to bring these claims – regardless of whether the tax sale purchaser has already obtained a ruling confirming or quieting his tax sale title as his sole property. As a result, title insurers have almost completely stopped insuring tax sale titles altogether.
However, given the extensive experience and amazing success clearing and insuring tax sale titles for almost a decade in Louisiana, NOLA Title remains as the ONLY title company that is able to consistently obtain title insurance for Louisiana tax sale titles today. Through its experienced staff, seasoned tax sale attorneys and invaluable business partnerships in the tax sale title underwriting arena, NOLA Title is the only option for Louisiana tax sale property owners to consider when needing title insurance.
Don’t wait to be turned down elsewhere and have the closing of your sale or refinance delayed – contact NOLA Title for your tax sale title insurance today. Just fill out the contact form below and a member of our team will contact you directly.