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What happens to a tax deed sale if the original owner of land you bought filed for bankcruptcy?

Suppose somebody bought a land and 1. it is his principle of residence. 2. it is not his principle of residence. Suppose this happens in the state of CA.

Public Comments

  1. taxes don't go away if someone files bankruptcy. if property tax is owed there will be a lien on the property. the title company will take care of this
  2. If you find a tax deed sale the previous owner has lost all possession. The city took it over. Probably it is not livable .
  3. Depends on the order of lien holders. What chapter of BK? Are they using the BK in order to take advantage of not losing their home? What is the tax sale redemption period in CA. and can they meet this date with all the payments due to redeem the property if they file BK? Lots of scenarios and best get legal advice from an Atty who is familiar with real estate laws in your area.
  4. Principal... See: http://research.lawyers.com/California/Bankruptcy-in-California.html and Are you saying the bankruptcy occurred BEFORE the date of the tax sale? Or after? Bankruptcy usually doesn't wipe out taxes owed or any liens from failure to pay taxes... It also depends on whether these back taxes were declared in any bankruptcy action.... See also: http://www.co.el-dorado.ca.us/taxcollector/tax_sale_questions.html Revenue & Taxation Code governs all tax sales in the state of California.
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