If you've recently purchased a property in Louisiana through a tax sale, you may find yourself in a unique situation where you want to keep the home rather than just use it as an investment or sell it for a profit. Tax sales in Louisiana are auctions held to collect delinquent property taxes, and the winning bidder typically receives a tax deed, which gives them ownership of the property. However, if you find yourself in this situation and want to keep the home, here are some steps to consider.
Understand the Redemption Period: In Louisiana, properties sold at tax sales are subject to a redemption period, during which the original property owner has the right to redeem the property by paying the delinquent taxes, interest, and other costs. The redemption period is generally three years for homestead properties and one year for non-homestead properties. If the original owner chooses to redeem the property, they will need to reimburse you, the tax sale purchaser, for the amount you paid at the tax sale, plus interest.
Communicate with the Original Owner: If you're interested in keeping the property, it's a good idea to establish communication with the original owner. You can inform them of your intention to keep the home and discuss potential options for them to redeem the property or sell it back to you. Maintaining open and respectful communication can help you negotiate a mutually beneficial arrangement.
Consider Financing Options: If the original owner is unable to redeem the property or sell it back to you outright, you may consider offering them a financing option. This could involve setting up a payment plan or providing them with a loan to cover the redemption costs. Working with a real estate attorney or financial advisor can help you navigate the legal and financial aspects of such an arrangement.
Take Care of the Property: While waiting for the redemption period to expire, it's important to maintain and care for the property. This includes keeping up with property taxes, insurance, and any necessary repairs or maintenance. Taking care of the property demonstrates your commitment to keeping it and may also help improve its value.
Seek Legal Advice: The laws and regulations regarding tax sales and property ownership can be complex. It's recommended to seek professional legal advice from a qualified real estate attorney who is familiar with Louisiana laws to ensure that you are following the proper procedures and protecting your rights as a property owner.
Be Patient and Flexible: Dealing with a property purchased in a tax sale can be a lengthy and complex process. It's important to be patient and flexible as you work with the original owner, navigate the redemption period, and potentially negotiate financing or other arrangements. It may take time and effort, but with determination and proper guidance, you may be able to keep the home.
In conclusion, if you've purchased a property in Louisiana through a tax sale and want to keep the home, it's essential to understand the redemption period, communicate with the original owner, consider financing options, take care of the property, seek legal advice, and be patient and flexible throughout the process. With proper planning and negotiation, you may be able to achieve your goal of keeping the home and turning it into a valuable asset.
