Home sold to private party for back taxes

[mizzlady212]

What is the name of your state (only U.S. law)? Nebraska

My friend has a mortgage on a home. About 2 years ago, he got notice that his home had been sold at auction to a private party for back taxes. So is their just a lien put on to the house that has to be paid before reselling? Can the private party evict him, and if so, what happens to the remaining balance on his mortgage?

I was just wondering and I couldn't find the answer myself. No need telling him to get an attorney, he's long since moved out and started BK proceedings.

Thanks

[efflandt]

If his back taxes were sold, he has 3 years from then to either pay the taxes plus 14% interest and fees with certified check to the county, payable to the party that bought the taxes, or lose the property (the tax purchaser will get a treasurer's deed).

So he probably has less than a year to pay up or be prepared to lose it. Not sure what the lender will do, but if they were aware of the delinquent taxes, he is likely in default of his loan. Or if his taxes are escrowed, he better contact his lender immediately and find out why they have not paid his property taxes.

For specific details see the website of the county or county treasurer, or a FAQ of one county for example is [url=http://www.dawsoncountyne.net/treasurer/faq.html]Dawson County Nebraska[/url]

When I bought my home in 2002, the title company paid first installment late, therefore not enough to cover both halves of double lot, and lender overlooked one lot, so the notification of tax sale I received was a wake up call to get it resolved. In 2005 I refi'd without escrow and now pay my own property taxes on time.