MINNESOTA - Tax Forfeited Land

Tax Forfeited Land

https://www.hennepin.us/residents/property/tax-forfeited-land

When land is forfeited, no taxes are collected. The tax-forfeited land program is intended to make this state-owned land productive, taxable property again.

It is possible for home owners to repurchase tax-forfeited land. For a limited amount of time after the date of forfeiture, Minnesota statute (MS 282.241) allows home owners or others with title rights to repurchase the land. The person seeking to repurchase will have to pay all taxes, assessments, and maintenance costs incurred by the county during the time the land was forfeited.

THE DIFFERENCE BETWEEN TAX-FORFEITED LAND AND MORTGAGE FORECLOSURE

Mortgage foreclosure occurs when a property owner fails to make their mortgage payments to their bank or lender. It is a process between the owner and the lender.

People often confuse the two processes. Tax-forfeiture occurs when an owner can’t pay their property taxes. It is a process between the owner and the county. Tax forfeiture usually lags behind foreclosure by several years – in part, because the tax-forfeiture process takes much longer.

The reasons for foreclosure and tax-forfeiture are often the same – owners fall into financial trouble because of job loss, a sudden and expensive medical crisis, unexpected property expenses, and other reasons. Sometimes these two processes are occurring at the same time.