Arkansas Tax Deed Sales: What You Need to Know Before You Bid

What You Need to Know About Arkansas Tax Deed Sales

The Arkansas Commissioner of State Lands website is user-friendly and contains a wealth of information about Arkansas tax deed sales, including:

• Public Auction Catalog of upcoming auctions
• Reports of Past Sale Results of properties that sold at previous auctions
• Post-Auction Sales list of properties that did not sell at auction and are available for purchase
• Parcel Mapping with map and satellite views of properties
• Arkansas Tax Deed Sales Rules and Regulations
• Public Records Property Research Resources

You can also access information about upcoming auctions and obtain tax delinquent properties for sale lists in Arkansas for each county on the individual county websites and in the local newspapers.

Narrowing Down Delinquent Property Tax Lists

To narrow down your list of tax delinquent properties in Arkansas, first, examine only those properties with starting bids you can afford. Next, eliminate properties that are too low in value, since these are unlikely to provide adequate returns on your investment.

Researching Tax Delinquent Properties for Sale in Arkansas

Before bidding on property at Arkansas tax deed sales, it’s essential to conduct research on the existence of any liens or encumbrances on the property. In Arkansas, these lienholders will be called “Interested Parties.” Many of these liens will be extinguished by the tax sale, but not necessarily all of them.

Some liens, like improvement district taxes, city liens and IRS liens may remain on the property, so do your due diligence. While it may not be feasible to carry out a full title search for every property in the auction, you can look up county records online to determine if there are any outstanding mortgages, trust liens, or other judgments against the property.

Also, don’t bid on any property that you haven’t seen. Either go out and take a look at it or have someone do it for you. Don’t trust online photos; see the state of the property with your own eyes.

Variety of Properties at Arkansas Tax Deed Auctions

Arkansas tax deed sales offer various types of properties, including single-family homes, residential lots, open land (for grazing, crops, or recreation), small apartment properties, and small office buildings or commercial properties. Some auctions may consist of 20% land, making land quite popular in the state.

Recheck the list of tax deed properties for sale up to the auction to make sure the properties you want are still on the list since they may be redeemed by the owner or interested parties.

Methods of Payment for Buying Tax Delinquent Property in Arkansas

In Arkansas, you can purchase tax deeds using a credit card, which is advantageous because it allows for a payment plan, especially when you can buy a tax-defaulted property for 10 or 20 cents on the dollar.

Other methods of payment accepted at Arkansas tax deed sales are cashier check, money order, debit card, or personal or business check. Winning bidders must pay in full for their purchases immediately following the auction.

Arkansas Tax Deed Right of Redemption

When investing in Arkansas tax deeds, be aware of the right of the property owner or interested parties to redeem the property shortly after the auction, which may occur within ten business days after the date of the tax sale.

Arkansas’ Limited Warranty Deed

When you purchase real estate at Arkansas tax deed sales, you will receive a Limited Warranty Deed which acts as a quitclaim deed, meaning that the government does not guarantee a clear title or claim any responsibility for the condition of the property. Tax deed properties are sold “as-is” so always do your due diligence before bidding since it’s normal for counties to use a quitclaim deed to transfer tax deed properties.